Because of rising costs, affordability sometimes becomes the overriding factor in choosing a benefits program. Unfortunately, price is not a good indicator of whether a plan is right for your company. To get the most out of dollars invested, here are some key factors to consider:
1. Don’t quote me.
Traditionally, insurance brokers ask to quote your business and promise to find the lowest rate. While price is important, buying on cost alone is a big mistake. Your advisors should help identify business objectives and work to create an innovative plan design. Then, finding the right carrier product to fund the design becomes much simpler.
2. Know what you don’t know.
Because most benefits buyers wear multiple hats, it can be challenging to keep up with constant changes in the industry, legislative changes, product launches, and new underwriting practices. Your benefits advisor should feel like an extension of your team, working together to help you determine best outcomes for your business and employees from cost containment to plan design and education.
3. Be a truth detector.
Advisors can all sound alike, promising the same suite of services. How can you tell the difference? Interview multiple advisors, ask the same questions, and document responses. Pay attention to body language—shifting in their seat can mean less than honest answers. Ask for references from companies similar to yours and call them. Finally, talk to your colleagues in the industry and ask about the reputation of the advisors you’re considering. Do the due diligence now and you shouldn’t need to repeat the process for many years.
4. Never be satisfied.
The best benefits buyers push the envelope with their benefits platforms and work to develop a long-term strategy. Ask yourself:
- Are we offering the right plans?
- Are we providing incentives for healthy behaviors that will cut costs long term?
- How can we educate our employees and help them become better healthcare consumers?
- Culturally, what is our business and workforce ready for?
- Are we attracting and retaining “A” players?
A good advisor should help you find the answers. Remember, you shouldn’t be in this alone.
5. Get what you deserve.
If you are in the company of 100 to a few thousand employees, these services should be standard:
- Marketing and analytics:
- Plan analysis—benchmarking, financial efficiency, renewal analysis and justifications, account-based plan designs
- Plan review—claim history reviewed quarterly
- Negotiation—both with vendors and carriers
- Integration planning—bringing all plans into alignment for cost-containment and ease of administration
- Marketing—competitive market summary for all lines of coverage
- Implementation and communications:
- Employee communications—building of all communication for open enrollment and plan changes
- Plan implementation—coordination with all carriers, timeline development, and accountability
- Enrollment meeting representation and presentation—preparation and delivery of annual presentation via webcast, on-site, or both.
- Client service:
- Resolution of eligibility and billing issues
- Resolution of complicated claim issues
- Plan amendments—initiation and coordination
- Plan changes—documentation and execution
- Identification and addressing of service issues and trends
- Overall vendor accountability
- Compliance assistance and education:
