In many cases, health insurance is the second most expensive line item to a business and the national rates on health insurance are increasing each year. Here are five critical questions to ask your health insurance broker right now.
1. Am I in compliance?
Many brokers are equipped to sell policies, but do not actively offer compliance reviews to ensure penalties or claims exposures are avoided. You may think your business is compliant, but haven't fully implemented employer responsibilities related to mandatory employee notices, and other ERISA or FMLA requirements. Penalties can be as much as $200 per day, per employee per infraction. If you are not getting confidential compliance reviews from your broker, or have not had one in a while, demand one now. The June Supreme Court ruling to uphold healthcare reform means many new laws and regulations to comply with. Make sure you are safely educated and aligned with a regular compliance review.
2. Are there any carriers in California that you do not represent?
If so, who and why not? Licensed brokers should be able to represent virtually all of the major health insurance carriers in California. If they are excluded from any, you may not be getting the options that your competition is getting. Make sure your broker is giving you every competitive and relevant option available. In some cases there are brokers with access to exclusive and semi-exclusive plans, which are not offered by all brokers. If your broker has these, they may be able to qualify you for a beta product that can save you more than plans offered on the street. Check if your broker has exclusive or semi-exclusive plans.
3. Are you able to realistically cut health insurance costs with workplace wellness programs?
In most cases brokers should be able to give you effective communications tools to set up a wellness program. If they do not have this level of support find another broker. Some brokers go above and beyond to work strategically between businesses, carriers and medical groups to deploy comprehensive wellness programs with a host of benefits; measurable cost savings, healthier employees, lower absenteeism, increased productivity and a more positive workplace morale. Make sure your broker is qualified to advise you on wellness strategies. Put them on the spot.
4. What can you do to help me save time in HR administration?
Both time and resources are at a precious premium. It has become increasingly difficult to do the HR job, let alone manage insurance administration. Some brokers offer a springboard of online tools to make administration both safer and easier. It is worth taking fifteen minutes in your next meeting to ask them to review this with you. Likely, you will discover ways to save hours each week on your work. If your broker does not offer online tools for administration put them on notice to add it or you'll shop for another broker. The tools are too helpful and save too much time to ignore.
5. What are the benefits of high deductible HSA and HRA health plans?
These plans can be especially beneficial for small business owners looking to save money. If you own a small business, ask your broker to explain these plans to you. Remember, it is possible to change plans mid year if a new plan makes more sense.
King can be reached at
[email protected]
1. Am I in compliance?
Many brokers are equipped to sell policies, but do not actively offer compliance reviews to ensure penalties or claims exposures are avoided. You may think your business is compliant, but haven't fully implemented employer responsibilities related to mandatory employee notices, and other ERISA or FMLA requirements. Penalties can be as much as $200 per day, per employee per infraction. If you are not getting confidential compliance reviews from your broker, or have not had one in a while, demand one now. The June Supreme Court ruling to uphold healthcare reform means many new laws and regulations to comply with. Make sure you are safely educated and aligned with a regular compliance review.
2. Are there any carriers in California that you do not represent?
If so, who and why not? Licensed brokers should be able to represent virtually all of the major health insurance carriers in California. If they are excluded from any, you may not be getting the options that your competition is getting. Make sure your broker is giving you every competitive and relevant option available. In some cases there are brokers with access to exclusive and semi-exclusive plans, which are not offered by all brokers. If your broker has these, they may be able to qualify you for a beta product that can save you more than plans offered on the street. Check if your broker has exclusive or semi-exclusive plans.
3. Are you able to realistically cut health insurance costs with workplace wellness programs?
In most cases brokers should be able to give you effective communications tools to set up a wellness program. If they do not have this level of support find another broker. Some brokers go above and beyond to work strategically between businesses, carriers and medical groups to deploy comprehensive wellness programs with a host of benefits; measurable cost savings, healthier employees, lower absenteeism, increased productivity and a more positive workplace morale. Make sure your broker is qualified to advise you on wellness strategies. Put them on the spot.
4. What can you do to help me save time in HR administration?
Both time and resources are at a precious premium. It has become increasingly difficult to do the HR job, let alone manage insurance administration. Some brokers offer a springboard of online tools to make administration both safer and easier. It is worth taking fifteen minutes in your next meeting to ask them to review this with you. Likely, you will discover ways to save hours each week on your work. If your broker does not offer online tools for administration put them on notice to add it or you'll shop for another broker. The tools are too helpful and save too much time to ignore.
5. What are the benefits of high deductible HSA and HRA health plans?
These plans can be especially beneficial for small business owners looking to save money. If you own a small business, ask your broker to explain these plans to you. Remember, it is possible to change plans mid year if a new plan makes more sense.
King can be reached at
[email protected]