FAQs to Ask Your Health Insurance Broker
A health insurance broker should provide options for health insurance policies based on the company’s specific needs and budget. Brokers are authorized to act on behalf of insurance carriers and share “quoted” multiple policies with prospective clients. Brokers like Lewer Benefits Group can assist client companies in selecting a health insurance policy by providing information to help the client make an informed decision.
Below is a list of some questions you might ask health insurance brokers with which you are considering working.
Start by asking how long the brokerage has been in operation. The Lewer Companies have been in business for 65 years, which means we have extensive experience with multiple health insurance carriers and can provide references if requested.
Some brokers have dedicated account managers, while others do not. At The Lewer Companies, we assign a dedicated account manager to each client company to answer their unique questions. Your account manager will personally get to know you and your company to find the best program for your specific needs. A dedicated account manager should return your call promptly if you have a question or concern about your program.
Your health insurance broker should provide a variety of plan options for you to compare. Options can include fully-insured indemnity plans, level-funding plans, reference-based pricing plans, and voluntary or supplemental products. It would be best to ask about managed care systems, including health maintenance organizations (HMOs) and preferred provider organizations (PPOs). Depending on the type of insurance policy you are looking for, you can expect to see a range of terms, rates, and benefits. The broker should provide you with the pros and cons of each program.
Your health insurance broker should assist you with the open enrollment process, but not all brokers handle the process the same way. Ask your broker how they will help make the enrollment process as easy as possible for your employees. The broker should provide guidance to ensure that all paperwork is completed properly.
Annual renewal is a required part of the health insurance process. Ask your health insurance broker how the company handles annual renewals. Some brokers may have a systematic renewal process in place that jumpstarts the process. Typically, a systematic renewal process should begin a minimum of 45 days before the renewal date. If the broker does not give you enough time to evaluate the renewal, this may be a “red flag,” indicating that your broker doesn’t have your best interest in mind since you do not have time to explore other options.
You should also ask if the broker will negotiate a new rate for your renewal each year. Remember, it is your health insurance broker’s responsibility to get you the best value for cost of your program.
You should also ask if the broker will negotiate a new rate for your renewal each year. Remember, it is your health insurance broker’s responsibility to get you the best value for cost of your program.
Most health insurance brokers rely on commissions for income. When a broker sells a product, the health insurance carrier will pay the broker a commission based on the rate collected on your program. It is important to remember that these commissions are built into the price of your program, meaning it does not cost you anything to use a broker.
However, you still should ask if the broker charges any other types of fees for their services. This will help ensure that you are not surprised with extra costs later on.
However, you still should ask if the broker charges any other types of fees for their services. This will help ensure that you are not surprised with extra costs later on.
Suppose you are a business trying to put together an appealing benefits package for your employees. In that case, you will want to choose a benefits broker who offers additional benefits for your employees. From life insurance to disability, bundling various benefits provided through one broker may be the best option for both price and convenience. It also makes sense for your company to work with an experienced benefits broker familiar with carriers for all lines of coverage, including health, dental, wellness, long-term care, and voluntary benefits.
