5 Questions to ask your Benefits Broker

Choosing the right employee benefits broker is critical to the success of your company's benefits program. A good broker/consultant can help you find the best plan for your employees while keeping your costs down. Here are five questions you should ask your current employee benefits broker to ensure that you are getting the most out of your benefits program.

1. How do you help control the costs of our benefits program?
   Managing the costs of your benefits program is crucial for your company's financial health. There are strategies & programs companies can use in 2023 that are completely different than 2013. Ask your broker what strategies/programs they use to help control the costs of your benefits program, such as claim reduction strategies, alternative funding options, or creative wellness programs.

2. How much are you currently getting paid through all services?
   Employee benefit brokers get paid up to 17 different ways (and most companies don’t understand what their broker makes). If your current broker hasn’t disclosed fees/commission, request a document that includes all fees/commissions received by medical carriers, ancillary carriers, and other bonuses/fees. In fact, recent legislation changes have made it a requirement for current brokers/consultants to disclose fees & commissions above $1,000.

3. What is your service model, and how do you ensure that my employees are well-informed about their benefits?
   Your broker should have a service model that provides support to both you and your employees. Ask about their communication and education strategies for your employees, including whether they provide employee education meetings, online resources, technology, communication gameplans, or other tools.

4. How do you measure the success of our benefits program, and what data do you provide to us?
   Measuring the success of your benefits program is important to ensure that you are meeting the needs of your employees while keeping costs under control. Your broker should be able to provide you with data and analytics to help you evaluate the success of your benefits program. Ask your broker about the metrics they use to measure success, such as cost containment strategies, employee engagement, retention rates, or return on investment.

5. How do you stay current with industry trends and changes in legislation?
   Employee benefits are constantly changing, and your broker should be up to date on the latest industry trends and legislative changes. Ask your broker how they stay current on industry news and regulations, and how they communicate these changes to you.

By asking these questions, you can ensure that your current employee benefits broker is providing you with the support and expertise you need to create an effective and efficient benefits program for your employees. If you are not satisfied with your current broker's answers, it may be time to consider finding a new partner that is better aligned with your company's needs and goals.