How to Receive UnitedAg Medical Insurance

As rates continue to climb, many companies find themselves questioning whether it is the right time to switch their insurance and employee benefits broker. It's a significant decision, especially given that most firms are hesitant due to the anticipated complications. However, the process of finding and transitioning to a more adept broker is often simpler and less disruptive than many anticipate. This might be the ideal opportunity to seek a new partnership, especially with the rising costs of insurance and employee benefits. Speak with KBI Benefits today to allow our experts to handle the transition for you while saving your company as much as 40% on your benefits. Reasons to Consider a Broker Change The decision to change brokers typically stems from a loss of confidence in the broker. This could be due to strategic oversights on the broker’s end, such as failing to accurately predict market trends, a weak relationship with insurers, or an inability to procure the best coverage at competitive prices. Moreover, subpar service can leave clients feeling neglected and wondering what they’re paying their broker for. In other cases, a company might simply outgrow its current broker. As the business expands, it may require a broker with more advanced technical skills or better capabilities in managing costs effectively for a growing firm. How to Change Employee Benefit Brokers Contrary to common belief, switching brokers mid-term usually has minimal impact on the insurance or benefits programs and does not adversely affect employees. The existing coverage continues unchanged, while the new broker starts representing the client immediately with the existing carriers. A noteworthy consideration is the handling of ongoing claims. If the current broker is involved in resolving claims, the new broker will need to take over this responsibility. Similarly, for employee benefits, the transition to a new broker is smooth, with the new broker taking over responsibilities, including any dispute resolutions. Minor logistical tasks such as redirecting calls to the employee claims center and communicating details during open enrollment periods are managed efficiently by the successor broker. Benefits of Changing Brokers Mid-Term Changing brokers mid-policy can provide several advantages. Firstly, it allows the new broker ample time to familiarize themselves with the client’s program before renewal negotiations, offering a strategic advantage. Secondly, a new broker can quickly address technical policy issues or service gaps, potentially enhancing the user experience and reflecting positively on the management. Most importantly, there is typically no financial cost associated with changing brokers mid-term. Business insurance brokers generally begin servicing a new client without immediate payment, with compensation following at the next renewal cycle. In the realm of employee benefits, new brokers usually receive payment after insurance company fees are transferred, which occurs about two months after the change is initiated. How to Initiate a Broker Change Breaking up with your current broker is more straightforward than it seems, with much of the heavy lifting done by the new broker. The process starts with a Broker of Record (BOR) letter, a recognized industry standard for changing brokers. The client needs to print this letter on their company letterhead, sign it, and forward it to the new broker, who then submits it to the client’s insurance companies. There's typically a brief waiting period of five to ten days before the change takes effect, providing a short window for reconsideration. Once the insurance companies are notified, they usually confirm the change by contacting the successor broker. While it’s considered a professional courtesy to inform the current broker in advance about the change, it isn’t mandatory. The entire transition process can generally be completed in less than a month, allowing businesses to quickly benefit from their new broker’s services. Changing your benefit brokers need not be a daunting task. With careful planning and the right guidance, businesses can make the transition smoothly and reap significant benefits from a new brokerage partnership. Speak with a KBI Benefits agent today to initiate the process and start saving on your benefits sooner.