By recognizing the value of benefits advisors and investing in their expertise, employers can optimize their benefits programs and create a more satisfied and productive workforce.
As health care costs and the complexity of benefits programs grow, so does the need for skilled benefits consultants and advisors. However, our industry often struggles to convey the real value we provide. Without a strong value proposition, it can be hard to justify or increase fees, leading employers to see us as just providers who "sell insurance."
In writing this article, I aim to help our industry enhance communication about who we are and what we do in the market.
Please note that this article does not aim to cover every aspect of our value, but instead offers an overview to facilitate better conversations and understanding.
What benefits professionals do
In today’s complex health care landscape, benefits professionals play a vital role in supporting the health and wellbeing of 164 million Americans enrolled in employer-sponsored health plans. That’s why 81% of employers rely on external benefits professionals and firms to help them navigate these intricate systems and maximize the return on their benefits investments.
Since health care benefits are complex and many companies lack in-house resources, the vast majority of U.S. businesses need help in order to maximize the return on their benefits investments by developing customized programs and educating employees about the value of their benefits.
- Benefits consulting: Like architects drafting blueprints for a house, benefits firms evaluate an employer's unique population’s needs, identify opportunities for improvement, and develop strategies to help them achieve their organizational goals.
- Benefits procurement: Once a strategy is in place, benefits firms play the role of general contractor by helping employers find the best vendors (insurers and/or solution providers) needed to support their program. They manage the entire request for proposal (RFP) process, ensuring employers have the information and support to make informed purchasing decisions. This level of oversight helps drive cost-effective solutions while ensuring employees receive the best possible care.
- Benefits management: Benefits firms continue to provide essential support after implementing chosen programs. They guide employees in engaging with available services, monitor vendor performance, and ensure compliance with regulations. This ongoing management is key to maintaining a healthy workplace environment.
By providing strategic guidance, expert negotiation, and ongoing support, employee benefits professionals play an indispensable role in ensuring the health and financial wellbeing of millions of Americans. As health care costs continue to rise and regulations become more complex, the need for skilled benefits professionals, including advisors and consultants, will only grow. By recognizing their value and investing in their expertise, employers can optimize their benefits programs and create a more satisfied and productive workforce.