Adding value through an employee health plan might just be the competitive edge your company needs to attract and retain top talent. A benefits broker who understands your company, industry, workforce demographics, AND geographic region can help do just that.
Here's how:
While healthcare is indeed a critical benefit, it's also a critical area of concern. A recent survey from Reuters found that healthcare is the top concern in the upcoming election, with 62 percent from both parties saying they want to know what their candidate plans to do about rising healthcare costs.
Healthcare is an equally worrisome topic for employers. Wells Fargo's researchers found that maintaining current benefits is a top priority for employers, with a focus on attracting and retaining employees. The concern is especially acute for small employers (fewer than 50 employees), with 94 percent saying benefits are their top priority.
It's no surprise that many employers begrudge having to offer healthcare benefits, regretting the sequence of events that linked employment and health benefits in the first place. Even when a great benefits package is in place, the enrollment and on-going administrative process is often burdensome for both employees and employers alike.
Instead of thinking about providing healthcare benefits as an unwelcome obligation, think of it as an opportunity to shine. Granted, this is easier said than done, especially since some employees often view healthcare benefits as an entitlement vs. an employer-provided benefit. Employers must therefore have a strategy to put the "shine" back in their benefits packages, leveraging it as a recruitment and retention tool.
Additionally, an effective broker can neutralize the "love/hate" relationship that employers have with the healthcare benefits process. A talented broker should help craft a package that gives you the edge over your competition while ensuring that employees, and their dependents, have benefits that are truly beneficial. A great broker can also significantly ease administrative burdens through a robust, full-service (and well staffed) offering, as well as automated benefits enrollment and other automated administrative tools.
Here's how to find the right benefits broker that fits the bill:
Think of your broker as an advocate and consultant for you and your employees. Their relationship with you should go FAR beyond quoting rates and enrolling members. They should be so closely aligned with your organization that you consider them a seamless extension of your HR, Finance and Legal departments.
Are you concerned about meeting the Affordable Care Act’s "Employer Mandate" requirements? Can you afford to go above and beyond what is simply legally required through ObamaCare? Are you providing a benefits package that is comparable to your industry peers?
A benefits broker can help you answer all of these questions and more. An effective broker, one with a tenured staff of customer service agents, also makes employees feel like the broker is their personal advocate, helping them navigate an unwieldy and bureaucratic system. The broker takes on the role of trusted advisor, explaining complex healthcare topics and dry benefit details in a comprehensible and digestible positive manner.
Consider these six questions when shopping for a broker to handle your small group insurance.
A benefits broker that has underwriters and analysts on staff is positioned to be a true advocate for clients. These underwriters can go toe-to-toe and challenge the insurance carrier's underwriting analysis regarding underlying claims data, population statistics, and other factors that go into calculating rates.
Without the knowledge and expertise of on-staff underwriting, clients are left with an individual acting as a simply order taker, assembling quotes without the needed true resources to negotiate better rates. Just as you would hire an experienced accountant for a tax matter, an experienced underwriter has the ability to advocate for clients on a level that a layman cannot.
Another resource that makes a broker a true advocate is access to a Medical Director. How else can a partner company truly provide solutions to your health care challenges without and individual who accurately understands the nature of the risk posed by the individuals covered under the program.
A Medical Director will not only reduce costs but also improve patient outcomes. He or she knows the industry, understands the costs, can speak medical jargon, and is not likely to be intimidated by the medical professionals on the carrier's side. Insurance carriers invest heavily in their advocates. Employers should have the same access to their own representation.
To be an effective broker, he or she must understand your business, employee demographic, and geographic marketplace. Insurance is not a one-size-fits-all package. Whether your business operates locally, multi-state, nationally, or globally, your benefits broker must have the experience to balance employee and company needs. Has he or she put forth the effort to understand the company's priorities and goals regarding employee benefits? Does the broker show a personal interest in the company?
Many benefits brokers handle more than just basic healthcare coverage. Especially for small firms, selecting a broker that is familiar with all types of coverage, including wellness, dental, life, disability, and long-term care, is advantageous. Can the broker adequately explain these benefits to employees, helping them understand the value of what the company is providing? Is working with this broker making your job easier or harder?
This is a critical question. Failing to comply with healthcare legislation can result in fines for your company. Healthcare reform is not a simple subject, and it's likely to continue to be debated and amended in the coming years. Building a relationship with a broker who makes legislative compliance a priority is crucial.
Inevitably, issues will arise. From something as simple as an employee getting married in the middle of the year and needing to add a spouse, to fighting a denied claim, there will be special circumstances to deal with. What resources and support are available to you and your employees? Is the broker proactive or reactive?
One survey of HR professionals found that 72 percent say lack of automation hinders their success. Why don't they do something about it? After all, benefits automation has the capability to at least provide a partial solution to the burdensome troubles plaguing administrators. However, the market is flooded with benefits software.
A simple internet search can leave administrators paralyzed. Even once a solution is implemented, ever-evolving technologies, rapid changes in the benefits landscape, and legislative amendments leave employers bewildered, trying to keep up. A tech-savvy and platform-agnostic broker can help clients navigate this complicated situation.
Finding the right broker is like selecting an attorney or accountant; you know it's going to be a long-term relationship. An effective firm must be capable of performing multiple roles, including consultant, advocate, researcher, underwriter, and technology expert. One individual can't do all these things. Therefore, it is imperative to have a team of resourceful individuals who can be relied upon for expert guidance; a team who is trustworthy, and experienced. The JP Griffin Group would like the opportunity to show you exactly what an effective broker can do for your business. Call us today.