Eastbridge research has identified eight different types of voluntary producers. And today, everyone knows that different types of brokers have different needs and different criteria for selecting carrier partners. In order to succeed with voluntary, small-case employee benefit brokers need different tools, support, products, etc. as compared with classic worksite brokers.
And all but the largest carriers have learned—many the hard way—trying to please all types of brokers often means missing the target on each type of broker. Looking at only one issue—how these two types of broker access enrollers—highlights the many differences that can impact market success.
We also know that as brokers become more experienced, there are certain common needs, or hygiene factors, that the carrier must master. Hygiene factors are those that are “table stakes,” things that cause brokers to flee if not done well, but don't necessarily attract new brokers. All experienced brokers want their carrier partners to be proficient at things like billing capabilities and claims accuracy.
As time goes by, the hygiene list continues to grow. But there are still scores of items that are differentiators and their importance varies by the type of broker.
Today, most brokers know they need to shop carriers to be sure they are bringing quality products and services to their customers. The days of automatically calling your employer-paid product carrier or major brand carrier are disappearing as brokers come to appreciate the significant differences between insurance companies.
Brokers need to understand how to measure the ability of carriers to perform on the hygiene factors and to identify the carriers that excel at the specific capabilities that are important to them.
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