Broker or Bystander? Evaluate Your Employee Benefits Partner With Our Scorecard
- Lauren Lyman
- Jun 5
- 3 min read
When partnering with an employee benefits broker, companies have to consider several factors, including how the broker aligns with the organization’s objectives, the level of service provided, and if they are a trusted advisor. Is your benefits partner a cost effective broker or a bystander fueled by incentives?
Generally, your benefits broker should offer competitive pricing that stays within your budget while still meeting the needs of your company and employees. They should be able to negotiate lower premiums with insurance companies that generate valuable benefits packages.
A general red flag to consider is how brokers are paid on a commissions and sales basis as opposed to a flat fee. They earn a percentage of the premiums paid to the insurance carriers, and therefore, it would not incentivize the broker to save your company money. It’s important to perform a rigorous screening process so that you can select the best and most experienced benefits partner for your organization.
There are several steps to consider and multiple boxes to check on how your benefits broker is earning their keep. At Premier HR Solutions, we put together a scorecard to make it easier to measure their success.
Use this Scorecard to Measure Your Employee Benefits Partner:
1. Strategic Guidance
Plan Design Expertise: Help design cost-effective, competitive benefit plans tailored to the company's size, industry, and goals.
Cost Containment: Offer strategies to manage or reduce benefit costs without compromising value (e.g., HDHPs with HSAs, wellness programs).
Benchmarking: Compare your benefits against industry standards to stay competitive in recruitment and retention.
2. Compliance Support
Regulatory Updates: Keep the employer informed on federal and state laws (ACA, COBRA, HIPAA, ERISA, etc.).
Documentation Assistance: Provide required notices, filings, and help with reporting (e.g., 1095-C forms, SPD creation).
Audit Readiness: Help ensure the employer is prepared for a DOL or IRS audit.
3. Employee Education & Support
Enrollment Help: Assist with open enrollment meetings, benefit guides, and decision support tools.
Year-Round Support: Provide ongoing support for claims issues, ID card problems, and coverage questions.
Technology Solutions: Offer platforms for online enrollment and benefits administration if needed.
4. Vendor & Carrier Management
Negotiation: Negotiate rates and terms with carriers to ensure value and service quality.
Carrier Relationships: Act as a liaison between the employer and insurance carriers for smooth issue resolution.
Plan Renewal Management: Provide proactive renewal planning and alternative plan comparisons well before deadlines.
5. Responsiveness & Accountability
Proactive Communication: Regular updates, check-ins, and availability throughout the year—not just during renewal.
Dedicated Service Team: Access to account managers, claims advocates, and support staff.
Performance Metrics: Willingness to be measured against service-level agreements (SLAs).
Streamline Your Employee Benefits with Premier Benefits Services
We know that benefits can be a dealmaker or a dealbreaker in hiring employees. That’s why at Premier HR Solutions, we provide Premier Benefits Services, a comprehensive suite of benefit services designed to meet the evolving needs of your business. We developed this division to help you save money on your insurance needs as well as other aspects of your HR function.
Premier Benefit Services offers the following:
✓ Access to multiple carrier benefit plans
✓ Acquisition and negotiation of benefit packages, including comprehensive health, dental, vision, and 401k plans
✓ Administrative outsourcing for benefit billing
✓ Commercial insurance
✓ Efficient payroll processing through top vendors
Our services ensure seamless integration and management of all your employee benefits under one roof.
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