It’s no secret that the last few renewal seasons were tough on brokers—chaotic, complex and time-consuming. In our last blog we discussed the negative impact on clients as well, who often got less face time with their brokers while facing confusing ACA obligations.
However, recent obstacles create opportunities for brokers to shine this year, to deliver a superior renewal experience for clients. This blog will discuss three specific areas brokers can focus on to overcome ACA challenges moving forward.
1. Community Rating
Community Rating was always expected to be a challenging provision to contend with for brokers and employers alike. However, all parties discovered just how much of a challenge it was in recent years.
In addition to the significantly increased complexity and work for brokers, employers were more confused than ever on their requirements under the law and how exactly community rating impacted their renewal. This offers a clear opportunity for improvement.
During their next renewals, brokers should focus on clear communication with clients on community rating, and understand that it may be confusing and tough to understand. Employing technology can be helpful to illustrate plan options and coverage details relative to community rating.
2. Premium Share
You’ve likely noticed in recent years that premium share is an area where the trends are shifting, as employers try more creative ways to manage costs. Rather than having employees pay a straight premium based on percentage of coverage, many employers are moving towards concepts such as wellness-based premium or employee-only coverage.
Adjusting premium share opens a host of plan design options, which creates many questions and concerns for the employer. Brokers can improve the client experience moving forward by presenting plans visually, preempting client questions by suggesting premium share options that make sense, and engaging in dynamic conversations to help clients understand all of their options.
3. Funding vehicles
Another area that caused challenges in recent years was funding vehicles, such as different rules for coinsurance and copays, carriers offering high-deductible discounts, and higher adoption of HSA plans. Along with the other two areas discussed, this resulted in exponentially more plan options and complexity for brokers and employers alike.
The best way to support clients through a complicated plan design discussion is using a technology solution. Innovative services allow brokers to create dynamic, digital presentations, which clearly illustrate plan options to the client while allowing for real-time adjustments to show the impact of a change.
For more details on how to raise the bar and overcome ACA challenges during your next renewals, check out our free ebook, Overcoming ACA Challenges During Your Next Renewal.