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Diversifying Your Offerings: Exploring Supplemental Insurance Options for Clients

Medical costs have risen drastically over the past few years. As a result, employees realize that their employer-sponsored health plans are not enough, forcing their employers to look at the gaps in their health coverage. That’s where supplemental health insurance comes in. While health insurance covers the costs of surgeries, urgent care, preventative care, and doctor appointments, supplemental health insurance addresses gaps in traditional insurance. Such coverings include long-term care insurance, cancer insurance, and prescription drug coverage.

Understanding Supplemental Insurance

Also known as ancillary benefits for employees, supplemental insurance offers myriad benefits that significantly enhance the overall coverage of traditional health insurance. Its financial protection shields families against out-of-pocket expenses arising from deductibles, co-payments, and other unforeseen medical costs.

As health insurance brokers and third-party administrators (TPAs), you always seek ways to provide the best coverage for your clients, which includes determining the best way to sell supplemental insurance. One of the methods to achieve this is by diversifying your portfolio. Diversifying your portfolio offers a broader range of coverage options and ensures you can address your client’s unique and evolving needs. The following are the critical insurance options you can offer your clients:

Key Insurance Options

Keep reading to learn about the various supplemental insurance options you can offer your clients to provide them with a comprehensive plan that addresses their unique and individual needs. 

Critical Illness Insurance 

It provides a lump sum payment that can help cover the costs of treatment, medication, and other expenses during and after a severe illness like stroke, cancer, or heart attack. It helps cover medical expenses, lost income, and additional costs associated with the sickness.

Accident Insurance

It provides a financial safety net in case of an unexpected injury. The insurance can cover medical bills, transportation costs, and lost income due to time off work. It’s valuable for individuals with physically demanding jobs, young children, or individuals participating in high-risk activities.

Hospital Indemnity Insurance

It is another popular supplemental option, providing a daily cash benefit for each day an individual gets hospitalized. It helps to cover expenses that typically fall outside the scope of traditional health insurance, such as childcare, mortgage or rent payments, and other daily living expenses.

Dental Insurance

Dental insurance is another essential supplemental benefit, covering routine and more extensive dental procedures. It includes preventive care, such as annual cleanings and X-rays, and more advanced procedures, like fillings, root canals, and braces. Incorporating dental insurance into your clients’ health insurance packages can help them maintain good oral health while saving money on expensive dental procedures in the long run.

Best Ways to Sell Supplemental Insurance

Understand Your Clients

Understanding your client’s needs is one of the best ways to sell supplemental insurance. Clients have different plans when it comes to ancillary benefit plans. Some will target co-payments and co-insurance, while others will opt for deductibles. Each plan has varying positives and negatives, in addition to premium variations.

Partner and Learn from Reputable Providers

When considering the best ancillary services benefits for employees, liaising with reputable providers is critical. Collaborating with such providers ensures that your clients get quality coverage, which helps improve your business’s image. Search for providers with strong financial ratings, many positive reviews, and a broad range of coverage options. Partnering with a trusted provider can help you build credibility and trust with your clients. You also want to ensure your providers can offer various plans, which is why our eDIYBS platform is a great choice, click here to learn more. 

Educate Your Clients

Many people are unfamiliar with the benefits of ancillary plans or have misconceptions about them. As a broker, you should educate your clients about the value of supplemental policies. Let them understand the potential cost savings, coverage options, and mental peace that comes with added protection. Educating your clients can help them make informed decisions and increase their likelihood of choosing supplemental insurance.

Bundle with Traditional Health Insurance

Another effective way of selling supplemental insurance is by bundling it with traditional health insurance plans. Bundling your plans helps to make it more convenient for clients to purchase both types of coverage from you. It also helps your clients to save money by receiving a discount for bundling. By offering a comprehensive package with both traditional and supplemental insurance, you are more likely to increase your sales, as many clients are after a comprehensive plan.

Offer Personalized Solutions

Offering personalized solutions is another best way to sell supplemental insurance. It involves acknowledging that each client has specific health demands and budgetary constraints. When you adopt this strategy, you consult with your clients to learn about their present coverage, health issues, and financial limitations. By offering supplementary insurance policies that specifically address these personalized aspects, brokers can prove a genuine willingness to satisfy their customers’ specific needs. Having happy customers means having clients who can count on you as a reliable broker or advisor.

Benefits of Incorporating Ancillary Benefits

There are numerous benefits of incorporating ancillary benefits into your service options. To view some of the top benefits, see below. 

Attract and Retain Employees

In today’s highly competitive job market, employees are no longer satisfied with standard health insurance benefits but seek further employer incentives. By offering ancillary benefits such as dental, vision, or disability insurance, you can attract top talent and improve employee retention.

Promote Wellness and Preventative Care

Many ancillary benefits for employees aim at wellness and prevention, which has the longer-term effect of reducing costs for both employer and employee. For instance, dental and vision can help detect and treat issues early, preventing more costly procedures. Doing so saves your organization money and promotes overall employee health and productivity. Besides, healthier employees have less absenteeism and a more positive mindset.

Tax Advantages

Another advantage of ancillary benefits is the tax advantages that they provide. These benefits are usually tax-deductible by the employers, which allows them to reduce their liability. Secondly, employees could use their salary pre-tax deduction to contribute towards these benefits, and thus, they can benefit from the same in terms of tax savings.

HIT tax advantages

Master the Best Way to Sell Supplemental Insurance by Partnering with Health In Tech

Determining the best way to sell supplemental insurance and ancillary benefits for employees into your offerings can create new revenue streams and help you serve your clients better. By partnering with a company like Health In Tech, you can access a wide range of supplemental insurance and ancillary benefits for your clients while offering the added benefits of self-funded healthcare. You’ll also meet your customers’ unique needs and preferences, increasing customer satisfaction and retention.

Join the revolution of self-funded healthcare and partner with Health In Tech today! Together, we can provide your employees with industry-leading ancillary products and help you take control of your healthcare costs. Don’t settle for traditional healthcare options. Let Health In Tech take your company to the next level of wellness and savings. Contact us today to learn more about our innovative solutions and start a healthier future for your business.

Learn More About What Health In Tech Can Do for You