Recognizing when it’s time to move on from your current benefits broker is essential for continued growth and success.
Stay informed. Our Insights Newsletter highlights the latest news and analysis on global strategy, policy and risk. Subscribe to Insights
In the ever-changing world of business, making informed decisions surrounding strategic partnerships is essential for success. This extends to the relationship between employers and their benefits brokers.
While benefits brokers play an integral role in managing employee benefits and ensuring compliance, there may come a time when businesses should consider transition to a new broker. Below are seven common signs that indicate it may be time to leave your current benefits broker and seek a partnership that aligns better with your organization’s goals and needs.
1 | Stagnant Benefit Offerings
The employee benefits landscape is constantly evolving, with new offerings and strategies emerging to address the changing needs of the workforce. If your benefits broker has not introduced new and relevant benefit options in some time, it may be an indication that they are not staying up to date with industry trends or tailoring their services to your organization’s evolving needs.
2 | Lack of Proactive Communication
Effective communication is the cornerstone of any successful partnership. If your benefits broker is consistently reactive rather than proactive, it may be a sign that they are not fully invested in your organization’s well-being. Brokers should actively keep you informed about industry trends, compliance, updates, and innovative benefit solutions that positively impact your workforce.
3 | Inadequate Support During Open Enrollment and Throughout the Year
Open enrollment is a critical time for employees to make important benefit decisions. If your benefits broker fails to provide robust support, education, and clear communication during this period and throughout the year, it could lead to confusion, frustration, and dissatisfaction among your workforce. A strong broker should offer comprehensive assistance and ensure a seamless enrollment experience. More importantly, a benefits broker should significantly alleviate the administrative burdens that come with managing a comprehensive employee benefits package.
4 | Rising Costs and Uncompetitive Pricing
Your benefits broker should act as a strategic partner in managing costs and ensuring your benefits program remains competitive. If you notice a consistent increase in costs without a corresponding improvement in benefits or services, it’s worth evaluating whether your current broker is providing the best value for your investment.
5 | Limited Technology Integration
Technology has revolutionized benefits management, offering streamlined processes, enhanced data analytics, and improved employee engagement. If your current broker lacks the integration of modern technology platforms to facilitate enrollment, communication, and data analysis, it could be time to explore new options that prioritize technological innovation.
6 | Ignoring Customization
Each organization has a unique workforce with distinct needs and preferences. A benefits broker that provides one-size-fits-all solutions without considering the individual characteristics of your employees may hinder your ability to offer a comprehensive and appealing benefits package. Seek a broker that values customization and tailors offerings to match the diverse needs of your staff members.
7 | Compliance Concerns
The regulatory landscape governing employee benefits is complex and ever-changing. Your benefits broker should be well-versed in the latest regulations and proactive in helping your organization maintain compliance. If you find that your broker is not providing the guidance needed to navigate the terrain successfully, it may lead to substantial financial penalties for your organization.
Recognizing when it’s time to move on from your current benefits broker is essential for continued growth and success. Partnering with a benefits broker that aligns with your organization’s values, goals, and evolving needs can lead to a more strategic, efficient, and satisfying benefits management experience for both employers and employees.