Tips On How To Sell Health Insurance

 

When it comes to selling health insurance, you’re dealing with an abstract commodity that most consumers are unfamiliar with. The insurance sector speaks its own language, which most people don’t understand, and members only receive a small plastic card as a concrete reward.

Second, health insurance is prohibitively costly. Even when the employer pays a portion of the premium, many consumers find it difficult to afford.

To save money, more people are opting for higher deductible plans with no upfront copayments, which implies they’re less likely to use the plan. The network discounts at the doctor’s office or when picking up a prescription are the only benefits that the majority of subscribers use.

Finally, most individuals find learning about insurance to be excruciating, which makes selling health insurance that much more difficult.

 

When we consider the number one reason firms provide health insurance and other perks – to attract and retain quality employees – it seems odd that they start with a product that people don’t want, understand, can’t afford, and won’t use.

 

As an agent, it’s your responsibility to ensure that your clients are getting value for their money. Here are some pointers:

 

Consider the possibilities.

The way brokers define themselves – as health insurance agents – is part of the problem. This suggests that 1) we can only assist corporations in purchasing health insurance and 2) that this is the extent of our assistance. We need to think more broadly. Instead of thinking of yourself as a health insurance agent, consider yourself an employee benefits specialist. While not every business can or should provide health insurance, all businesses must provide some type of perk in order to compete.

We can be more open-minded if we shift our focus from health insurance to employee perks. We can ask our clients what their objectives are for giving a benefits package, and then assess if health insurance is the best approach to achieve those goals. It will be many times, but not always. In either case, if our goal is to assist the employer get the most out of its benefits package, we can be creative with our suggestions. Our license permits us to market a variety of products, including health insurance.

 

Problem-solving

You’re not just there to sell health insurance; you’re also there to relieve some form of administrative anguish. Our clients will almost always want to offer a group health plan, especially if their competitors do and their employees demand it. But there’s a snag. As previously said, health insurance is costly, and many employers find it difficult to provide a cost-effective plan. As a result, dealing with the cost issue has been a top concern for agencies in recent years.

We’ve devised a lot of initiatives as an industry to approach the cost challenge from various perspectives. When it comes to health insurance coverage, employers 1) pay a portion of the premium 2) for specific employees and dependents for a plan that 3) covers some of the cost 4) for a list of covered benefits 5) provided by a network of providers. The majority of our tactics deal with one or more of these issues.

 

Keep in mind the Second Sale.

Employee benefits are sold in two stages. We must first persuade the boss, and then we must persuade the employees. That does not imply that we must hold an employee enrollment meeting. We do, but there’s a lot more to it. We must keep the employees in mind when building the benefits package; this is how we ensure that they will appreciate their perks and that the company will see a positive return on investment.

Too often, brokers focus solely on ways to lower premiums without taking into account the impact on employees. An “efficient” network, for example, may compel an employee to switch doctors. Modifications to the medication card may cost an employee an extra $40 or $50 each month. Eliminating copays may minimize excessive consumption, but it may also discourage employees from seeking critical medical care. Furthermore, eliminating dental or eye care could eliminate the only benefits that young, healthy employees actually use.

 

In conclusion, you don’t just sell health insurance.

There are a million ideas floating around, and I’ll share a few in future postings. But, for the time being, a few crucial principles should be reiterated: Businesses give benefits to attract and retain employees, and our duty as brokers is to develop a benefits package, not simply a health insurance plan, that will assist employers in achieving this aim. While health insurance is an important part of our benefits strategy, some of the recent modifications to the plans we promote have left employees disappointed. They’re paying more for less coverage, and as a result, many of them are dissatisfied with their benefits. You’re not just a health insurance salesperson.

In each recommendation we make to our employer clients, we must keep the employees in mind. If one of our initiatives causes an issue for the employees, such as changing their impression of the benefits plan, we must couple the strategy with a remedy to the problem. True, it’s easier said than done at times. However, there are situations when the remedy is simple and affordable, and failing to propose it to our clients would be irresponsible.

 

 

 

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