We recently sat down with a company who couldn’t stop raving about their broker. “We love our broker. Been with them for years. They’re great. They meet with our employees every year.”
Here’s where it got interesting.
When we dug into their numbers, we found their “great” broker had been earning $300,000 annually in commissions while this employer endured 15 straight years of health insurance increases. There was no strategy, no innovation or any measurable results.
Your broker should be bringing you:
Data, not just spreadsheets. Anyone can format renewal numbers. You need someone who analyzes your claims data, identifies cost drivers, and presents actionable insights.
Strategy, not renewal reactions. If your “strategy” meeting happens 60 days before renewal, you’re not strategizing. You’re scrambling.
Cost-containment solutions, not cost excuses. Increases aren’t always inevitable. There are proven strategies to take more control of your healthcare spend.
Compensation aligned with your success, not premium volume. If your broker makes more money when your premiums go up, whose interests are they really serving?
The DSG difference
We don’t tie our income to your premiums. We work on a flat consulting fee because we want you to know we’re fighting for you, not the carrier. When your costs go down, we’ve done our job.
We take the time to understand your unique objectives, analyze your data thoroughly, and design sustainable solutions built to last. Our approach focuses on proactive strategies rather than reactive damage control, and we’re willing to put our fees at risk based on the results we deliver.
Loyalty shouldn’t cost you millions.
Here’s what you can do now…
Ask your broker directly: “How much do you make off our account in total compensation, commissions, overrides, bonuses, everything?”
If they dodge the question or give you a vague answer, that tells you everything you need to know. They’re legally required to disclose this information upfront. If they’re not volunteering it, they’re withholding it.
Next, audit the actual value they’ve delivered over the past three years. Not what they promised or what they said they’d do. What actually changed? What measurable improvements can you point to?
Finally, challenge them to bring you alternatives beyond the fully insured model. If you’re getting low single-digit increases in the fully insured world, you should probably be self-funding. You’re essentially making the carriers rich while missing opportunities to control your own destiny.
If your broker can’t or won’t engage on this level, shoot us a DM. We help employers break free from the cycle of annual premium increases and broker complacency.