Broker Selection
pelier2
1 Post
Does anyone have any "best practices" when making a broker selection? We are moving to an HSA from a PPO in January 2009 as a complete replacement program and want to ensure whichever broker we select can assist us through the transition and going forward.
Thank you!
Comments
I have been through the process (broker transition not HSA->PPO) twice. Some of my notes:
(1) Make sure the salesperson/presenter is going to be your main contact once the transition is made. I have had too many brokers who send their best/brightest in to sell and then turn around and give you someone who hides in a back room on a day to day basis who doesn't have as much knowledge.
(2) Ask for client references from other clients who have made the same transition.
(3) Ask about their book of business...see where you fall. Are you going to be a big fish in a little pond? A small fish in a big pond ? Do they have a large group of clients that they can better negotiate with the insurance carriers with? Do they specialize in this area or is it just one small piece of a large pie?
(4) Ask to see their enrollment/educational materials. Ask to see demos of the products they are wanting to sell you.
(5) I found after more than about 3 brokers, they all started running together. What's interesting is the one that I didn't pick in 2006 was the one I switched to in 2008 because some of the issues that stemmed from the above questions. I wasn't smart enough to know at the time to ask them!
I would also add these to the list
- Talk to other people in the area and see who they are using. If you belong to a local chapter of SHRM or another group like that then network with those companies to find out who they are using.
- Give the brokers some general information and see what options they bring back to you. When I first came to this company, they had used the same broker for years. Since I didn't have any loyalty to him I basically put it out to bid, so to speak, and found that none of other brokers were able to bring me all the different options that the original broker does each year. He is always available if I have a question and goes the extra mile for our company.
I did switch this year from the PPO to HSA. My broker and I conducted all the meetings together. He helped answer everyone's questions. We just had an issue the other day with one of my employee who just had surgery. She was over charged by the insurance company (they were considering the hospital out of network when it is really a in-network hospital). He was able to get everything corrected for her.