Benefits of using a Broker
As an individual or as a business owner, you don´t pay any more for employee benefits purchased through a broker than you would if you purchased the coverage directly from an insurance company. Insurance carriers set aside a small portion (about 3%) of the premium to pay brokers a commission, which covers not only the selling of the plan but much of the servicing required. An agent continues to receive commissions as a plan is renewed, so it is in his or her best interest to keep the client happy. Here is a sampling of what agents do for their clients every day:
- Negotiate renewal rates and identify items that should be considered by carriers when determining renewal premiums, i.e. turnover of personnel, addition of new hires, etc.
- Recommend healthcare financing options best suited for the client, i.e. fully-insured, self-funded, health reimbursement arrangements, flexible spending accounts, health savings accounts
- Provide online and written materials for plan administration, advise about new and pending legislation, provide information about new plan designs and premium changes
- Assist clients with claim issues and compile supporting documentation
- Analyze the performance of the medical plan and identify areas of high utilization
- Assist clients with requests to doctors and hospitals for information needed to resolve claim issues
- Assist COBRA-eligible ex-employees with selection of coverage
- Assist employee family members with the selection of coverage when employer-based plans are too expensive
- Meet with employers/employees to explain benefits, plan designs, and optional coverage
- Assist the employer in selecting the appropriate plan(s) that best meets the employer and employee objectives and goals
- Assist employers with billing issues
- Assist in planning wellness programs, i.e. health fares, health risk assessments, biometric screenings, rewards programs
- Inform insurance companies of employee adds, changes and terminations and request employee ID cards
- Meet with insurance companies and provide feedback on employer issues which assist carriers in making changes to plan designs, underwriting procedures, etc.
- Assist employers by providing a one-stop shop to access information on multiple insurance companies and multiple products, i.e. health, life, dental, vision, retiree benefits, long-term care, disability insurance. The access to multiple carriers allows the employer to select the specific insurance company and plan that meets their needs
- Provide or assist with employee websites to facilitate access to plan information
- Research and advise on financial viability, credibility, and value of various insurance companies and plan offerings
- Assist individuals with the completion of forms requested by government and other entities.