SOTSQ Episode 20: 3 Tips for a Successful Health Insurance Renewal

All right, with the fourth quarter upon us, your healthcare budget is probably coming up for renewal. So I want to give you three tips to make this a successful and effective renewal season for you. Tip number one Focus on the now what? You probably are getting access to your medical and pharmacy claims data, which is great, but what are you doing about it? Because access to data alone does nothing unless you're implementing strategies to make an impact on the areas of concern inside your medical and your pharmacy claims. So focus. Focus on the now what? Tip 2. Focus on Pepy Per employee per year cost of your health plan. You calculate it by taking the total cost of the plan divided by the number of employees on your plan. Why is this important? Because it's the most effective way to measure your performance against your peers in the industry. If your Pepy is too high, a 2% increase for you may sound good, but it really means nothing because you're already paying too much to begin with. Tip number three Know what your broker is making. Ask them what they're making and if they're getting paid a percentage of the premium you're paying. Just know they're getting a pay raise when your costs go up. If nothing else, demand they move to a consulting fee. And heck, ask them to put some of that fee at risk so they can show you how well they're going to perform. Alright, I hope these tips were beneficial for you and I hope this helps you have a successful renewal season. And until next time, bear down, focus on the target and strike out the status quo.