There are many criteria we use in evaluating broker’s services, however there is one simple one we can give you to get you started.

The one question you should ask any broker who knocks on your door (or for that matter your existing broker)…

“What tools and programs do you have in-house to mitigate the cost-drivers in the Workers’ Compensation system?”

·       Ask the question. And then just wait.

·       Don’t say a thing.

·       Let them speak.

·       See what they say.

Unfortunately, most brokers do not have a good answer to that question because some do not have ANY services in-house that accomplish this critical task.

To be clear what we mean and do NOT mean:

·       You are again asking what services they have “in-house”.

·       Not what does the insurance company do with loss control, bill review, carrier programs….

·       NO!!!

·       What you want to know is have they made an investment in creating meaningful services in-house.

·       WHY???

·       Because the insurance companies left to their own devices will not get you where you want to be.

·       You do not need to be an expert here, anything real will pass the basic “smell test” and resonate with you.

·       Just a little tip --- many firms will have some kind of claims reviews, and these are important.  Fact is that if you are not receiving any claims oversight it is a good sign there may be some neglect.  However, these are not advanced or “next level” tools, they are just the starting point.

Myth –

·       Prompt responses on service requests equals good service (wrong).

·       Being responsive is important, but that is not what separates fair from the good, and good from the great.

FACT

·       Almost no other line of insurance coverage is so price sensitive as Workers’ Compensation, and yet we find time after time that employers are suffering from mediocre service (and it is killing some, others are just “lucky” they have not had any serious claims experience).

Lessons Learned –

·       Just as in other relationships, like marriage for instance, your partner can be either an asset or a liability. 

·       Make the right choice and you will in all likelihood have an asset in your corner.

·       Make the wrong decision, and you have a “boat anchor” that will drag you down.

·       Workers’ Compensation is a top five budget line item for employers in many industries, and employers cannot afford mediocre service, the price tag is too high in so many areas (premiums are not the only one).

·       Learn the tools to evaluate brokers and be in the driver’s seat.

Interested in learning more, contact us and we can assist you in your journey, and give you some tools that will provide further insights.

We actually created a “Brokers Report Card” to help employers benchmark broker services because it is an impossible task unless you know what optimum service looks like (ask us for a copy of “Brokers Report Card”).