The Secrets to shopping for health insurance

A recent survey in reported some very interesting, but not surprising, findings:

92% of employers are concerned about rising health care costs, and their level of anxiety is up 77% over the last year.   63% of businesses see their broker as being a business partner rather than just a middleman offering products and services.  And despite all the hoopla about the pending government plans, only 20% say they are likely to buy a lower cost government-sponosred program – without the help of their broker.

These owners know that brokers provide education for themselves and their employees, service, guidance, compliance help and assistance.  They understand that an experienced broker knows the options, companies and products that will work best for their specific siutation.

Yet, alot of Business owners and HR professionals waste hour after hour, meeting with brokers and insurance reps, in search of the elusive “better and cheaper plan.”  They fail to understand that health insurance is a commoditized product.  No broker has a “better deal” – everyone has the same products at the same price. 

“Secret” #1- That means the only difference is the broker – service levels, professionalism, experience and expertise, and relationships.  And so the secret is very simple, really – shop for the right broker for you, and then let them do what you pay them for!

“Secret” #2-  Also understand that someone who works for an insurance company is not working for you- they will not have the background or expertise to give you an objective comparison between themselves or their competitors – and it is not in their best interests to do so.  They are paid to sell for the company they work for.

“Secret” #3-  If you go direct to the insurance company, you are working with their rep.  You will be on your own for problem solving, product and policy guidance, compliance, and help.  Oh, and the insurance company keeps the brokers pay – without any of the services.