If you’re a small business owner or manager, you’re probably used to making important decisions. But when it comes to employee benefits and health insurance, you may not be an expert. That’s why it could be advantageous – to you and your business – to use a broker for employee benefits. Below are seven reasons why engaging a health insurance broker when shopping for employee benefits is worthwhile.
Using a Broker to Help with Employee Benefits
1. Expertise of a Health Insurance Broker
Just like with an attorney or a CPA who provides you with professional counsel based on years of experience and training, a health insurance broker can provide you with guidance on employee benefits and health insurance. They will answer your questions and sort out all of the industry jargon which can be confusing and, perhaps, a little overwhelming.
An independent broker is just that, independent, so you can expect that they will work to find you the best-available plan for your organization, your employees, and your budget. And, a broker can help you evaluate “extras” that might be available, such as optional coverage (like Dental or Vision), online enrollment, or other services (like a Flexible Spending Account, Premium Only/Section 125 Plan, COBRA services, etc.).
Check out this video where we highlight key reasons to use a broker:
2. No Cost
Contrary to what you might think, using a health insurance broker doesn’t cost more. In fact, it may be less expensive because an experienced broker will have the expertise and the technology to help you find the most competitive benefits for your company, while also ensuring you and your employees have access to the doctors, hospitals, and other health care providers you want.
Brokers are paid a commission by the insurance companies or health insurance exchanges they represent, so you typically won’t pay an added fee for a broker’s services. This makes working with a broker a cost-effective solution for small businesses looking to provide quality benefits.
3. Ease/Simplicity
Using a broker frees you up to focus on what you need to do: manage your business. A broker will have the knowledge, experience, and resources to quickly research the options available to your group and to present you with the “pluses and minuses” offered by each of the carriers and plans being presented.
He or she may also offer online tools and resources, such as those available through California’s leading private health insurance exchange. The CaliforniaChoice exchange, for groups of up to 100 employees, delivers a “Smart Decision Technology” suite that includes an Automated Choice Profiler, which gives your employees the power to compare plans not just based on their premium, but also on doctor availability, affordability, and expected plan use. CaliforniaChoice also offers online enrollment, which reduces processing time, and online search tools for providers and prescription drugs – so enrolled or enrolling employees and dependents know who’s included and what’s covered before selecting a plan or visiting a health care provider.
4. Peace of Mind
When you shop and compare employee benefits plans with help from a health insurance broker near you, you can take significant comfort in knowing your broker will be working on your behalf – and in your best interests – to find the plan that best matches the needs of your business and your employees.
It’s your broker’s responsibility to ensure you get the coverage you want at a price you can afford. Health insurance is – and likely will continue to be – a complicated topic, and it’s your broker’s role to understand it and help you and your employees get the most for your premium dollar. They will also work with you and the insurance company if there are claims-related issues that come about later – helping to ensure the best-possible outcome for you and your employees.
5. Customization of Your Benefits Package
A broker provides customized solutions tailored to the specific needs of your business and your workforce. Every company and its employees have unique requirements, and a one-size-fits-all approach to employee benefits simply won’t suffice.
Your broker conducts a thorough assessment of your organization’s needs, including employee demographics, preferences, and budget constraints, to develop a benefits package that maximizes value for both you and your employees. Customization ensures that your benefits package is not only competitive but also attractive to current and prospective employees, enhancing your recruitment and retention efforts.
6. Compliance and Regulatory Navigation
Navigating the complex web of health insurance regulations and compliance requirements can be daunting for any business owner or manager. A broker for employee benefits stays up-to-date with the latest laws and regulations, ensuring that your benefits package complies with all federal and state mandates.
This is particularly important in an ever-changing legislative environment, where non-compliance can result in hefty fines and penalties. By working with a broker, you can mitigate the risk of non-compliance and focus on running your business, confident that you’re meeting all legal requirements.
nes and penalties. By working with a broker, you can mitigate the risk of non-compliance and focus on running your business, confident that you’re meeting all legal requirements.
7. Ongoing Support for Your Business
One of the significant advantages of working with a health insurance broker is the ongoing support you receive even after your benefits package is in place. A broker provides continuous assistance throughout the year, addressing any questions or concerns that may arise.
They help with enrollment, claims issues, and updates on policy changes, relieving you of the administrative burden. This sustained support ensures that your benefits package continues to meet the evolving needs of your business and your employees, providing peace of mind and allowing you to focus on your core business activities.
Highlighting the Benefits of Working With a Group Health Insurance Broker
| Broker Benefit | What It Means for Your Business |
|---|---|
| Expertise | Brokers simplify the health insurance maze, explaining industry terms and guiding you to the best plan for your team and budget. They even help assess extras like Vision, Dental, or COBRA services! |
| Cost-Effectiveness | Working with a broker doesn’t cost extra! Brokers are paid by insurers, and their expertise ensures you get the best value, often saving you money on competitive options. |
| Ease of Process | Delegating the research and comparison to a broker lets you focus on running your business. They provide clear “pros and cons,” saving you time and hassle. |
| Peace of Mind | Your broker is like a personal health benefits advocate, ensuring you and your employees have support for everything from claims issues to plan-related questions throughout the year. |
| Customization | No one-size-fits-all! Brokers analyze your workforce’s needs (preferences, budget, demographics) and build a tailored benefits package that attracts and retains top talent. |
| Compliance Friendly | Brokers stay updated on federal and state insurance rules, ensuring your plan meets legal requirements, saving you from possible fines or penalties. |
| Ongoing Support | From enrollment and claims to policy changes, brokers provide year-round assistance. It’s like having a benefits expert on standby every step of the way. |
Partner With a Health Insurance Broker
When running a small business, every decision impacts your bottom line and your team’s satisfaction. Employee benefits, particularly health insurance, consistently rank among the most valued workplace perks. By partnering with a health insurance broker, you gain an advocate who understands the complex insurance landscape and can guide you toward the most advantageous options for your specific situation.
To learn more about all of the options available to you and your employees, talk with your health insurance or employee benefits broker. If you don’t already have a broker, we can connect you with a CaliforniaChoice broker in your area.
