If you or your family require health insurance, then an experienced health insurance or medical insurance broker may be able to lend a hand. What is a health insurance broker? In simple terms, a health insurance broker is someone who helps connect people looking to purchase insurance with health insurance companies. Health insurance brokers are in many respects are in great demand by people who are in a similar situation and need health insurance. People that are more likely to enlist the services of a health insurance broker are those that do not have access to employer-based insurance (those that are self-employed) and others with pre-existing conditions that may make it more difficult to get health insurance.
Interestingly, a health insurance broker shares many of the job tasks of a realtor. Similar to that of a realtor, health insurance brokers work to ensure to get the best deal for their customers: health insurance brokers work to get health insurance that meets all the customers needs, and a real estate agent works to get the customer the best house or apartment at the best price. Once the perfect health insurance is found, both the insurance company and the customer sign documents legalizing the agreement.
Although many fear that because the health insurance broker works for the insurance company that they would not have the consumers’ best interest at heart, this could not be further from the truth. In fact, one of the most important tasks of a health insurance broker is to not only have knowledge of the different health insurance companies available but also to know which ones are the best choice for their clients. To add, health insurance brokers can also be an asset as they are generally knowledgeable about more intricate details of health insurance– including information about premiums, deductibles, claims and so much more. Health insurance brokers often receive compensation for their work on health insurance sales; however, they are only paid once the potential customer successfully purchases the plan.
These payments that the health insurance brokers work for are often referred to as commissions. This commission can be paid in 3 ways: it can be paid directly from the insurance company, it can be paid directly from the consumer, or even from both the health insurance company and the consumer that purchased the plan. In the end, however, if the consumer is happy with their insurance and the insurance broker did a great job matching them to a health insurance plan, the consumer may see this fee as a well-deserved investment.
As health insurance brokers are required to be licensed, you can rest assured that they will be working for you.