Are you considering buying health insurance for you and your family? If so, you may benefit from the assistance of a health insurance or medical insurance broker. 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 fact popular, as many people who are in need of health insurance use their services. Although health insurance is used by a variety of people, they are often used by those who are self-employed (and do not have access to employer-based insurance) and those with pre-existing conditions– as these two groups may face more challenges when looking for health insurance.
Interestingly, a health insurance broker shares many of the job tasks of a realtor. For example, just as a real estate agent works to find the best house at the best price, insurance company brokers look for the best insurance rates for their consumers. As soon as the health insurance broker is successful in their task, both the insurance company and the customer sign documents to legalize the health insurance purchase.
While it appears as if the health insurance broker is looking out for the best interests of the health insurance company, this is simply not the case– the health insurance broker is working for the best interest of the consumer. As a health insurance broker, one of their main job tasks is to be knowledgeable of the different health insurance companies, and which are the best fit for their clients. Even more, health insurance brokers are also helpful in more ways regarding your health insurance plan. Health insurance brokers will be able to provide information on premiums, deductibles and co-pays and 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. Health insurance brokers can receive the payment is a number of ways: the insurance company pays the commission, the customer themselves pay this fee, or even in some cases both the insurance company and the customer each paying towards the health broker’s commission. This fee can seem like a well-earned fee, especially if the end result is the customer being happy with their healthcare insurance.
Do not have fear in the quality of service you will get from a health insurance broker– as they are required to be licensed by the state that they work in and must agree as part of their terms of employment to work on behalf of the customer.