“Can we also look into PEOs? I hear they offer workers comp and payroll, too.” Dave innocently asks his insurance broker. They’re in the middle of discussing options for health benefits for the next calendar year, and the idea has been bouncing around in his head.
“Suuuuure,” his broker responds. “Do you know what you’re looking for?”
Not too knowledgeable about the concept, Dave hopes his health insurance broker will be able to provide all the information necessary to shop not only the traditional health plans they’ve already been discussing, but also the complex PEO marketplace.
Are Dave’s hopes realistic?
Let’s get back to basics.
What is an Insurance Broker?
Insurance brokers hold expert knowledge in insurance industry standards and then complete a license exam in every state they wish to be certified in. Likely, your company’s broker is able to explain premiums, copays, and networks in their sleep. Hopefully, they’re also great at assessing risk and making recommendations to obtain the best insurance options out there for your company and employees, whether that’s in healthcare or in P&C (property & casualty) insurance like workers’ comp and liability.
Your broker has connections with a variety of carriers. They’ll shop out your company to the carriers that offer either the health or P&C plans that match your needs, and then come back with quotes for your company and employees.
What is a PEO Broker?
A typical PEO broker is intimate with the myriad of demands and challenges that a company may face on a daily basis. Understanding the pivotal role of health benefits in a broader HR strategy, a PEO broker not only knows health insurance, but also has a deep understanding of the intricacies of everything else a PEO offers: HR, payroll, Workers Comp insurance, EPLI, and more.
Your PEO broker maintains relationships with a diverse portfolio of providers in the PEO space. Every PEO has their own formula for success. Some PEOs may specialize in high-exposure Workers’ Comp, top notch HR services, or fantastic employee benefits, in addition to providing the full suite of services offered by a PEO. Your PEO broker will get a well-rounded picture of your company’s needs on all levels in the HR arena, and then shop for you to find the best match to meet your requirements and desires.
ARC bridges the gap between a typical insurance broker and a PEO broker.
As a licensed insurance broker, ARC PEO Consultants fills a unique space: we offer the intricate knowledge of health insurance that you rely on from your broker, in addition to the broader spectrum of expertise required in the PEO space. Using our decades of industry experience, we leverage our long-standing relationships with the hundreds of PEOs nationwide to find the PEO that will best serve your business.
What should Dave do next?
On the phone with his insurance broker, Dave has come to the right place – for health insurance. Once he wants to shop the PEO marketplace, however, he needs an expert not just in health plans, but in the vast array of services that PEOs offer. This is where a PEO broker comes in. The options that are available when it comes to PEOs are dizzying; knowing that you can trust your broker to understand and focus on meeting all your needs is vital.
What’s our recommendation for Dave? Give us a call!
Not sure if a PEO is right for your company? Take the “Is A PEO Right For You?” quiz to find out!