Finding a Broker Who's Right for You

By Shannon DiBari
U.S. Chamber of Commerce's Vice President of Human Resources
The second of two articles.

When looking at your company's benefits program, you may want to consider working with an  insurance broker. Obtaining good advice up front can save you money and time-and produce better results. Start by thinking about the following two questions:

What are the benefits of working with a broker? 

Having a trusted insurance advisor can offer your company a number of advantages. The right insurance broker can match your needs  with the best coverage, price, and service available and provide professional and objective advice about your company's insurance needs. 

Brokers are experts in their fields and are able to act as your liaison with insurance companies for benefit interpretation, claim and billing problems, and other administrative concerns. They can also provide continuing advice and assistance with respect to plan design and can regularly remarket all coverages to determine if the current insurers continue to provide the best possible benefits at the lowest possible cost. 

How do I choose the right broker for my business?

Begin by asking other business owners who they use and why. You should look for a broker who specializes in small and medium-size businesses and interview a few brokers to decide who best fits your business philosophy and personal style. We suggest that you ask for a proposal that includes the services provided and the associated fees. Insurance companies may already include a broker fee in the premiums they charge whether or not you use a broker. That means you can get this professional advice without additional cost. 

It is also important to ask for at least three references of current clients as well as one client who no longer works with the firm, and then call them. 

Brokers specialize in different types of insurance, so you may need one broker who specializes in Group Insurance and one who primarily handles Property & Casualty or Business Insurance. After you decide on which broker to go with, we recommend that you sit down with the broker and lay out your goals for the year and beyond. Be sure to meet on  a regular basis to review your goals and to evaluate job performance.

By hiring an insurance broker, you free up time to focus on other aspects of your benefits program. This can result in a better long-term strategy and a stronger overall benefits program for your employees.