Choosing the Right Group Insurance Broker or Consultant
How to Evaluate, Select, and Get the Most from Your Benefits Advisor
How to Evaluate, Select, and Get the Most from Your Benefits Advisor
Group benefits may be one of the most complex—and costly—elements of your total compensation strategy. Yet many Canadian employers spend tens of thousands (or even millions) each year without fully understanding the role their advisor plays or what they should be expecting in return.
Choosing the right broker or benefits consultant isn’t just about getting quotes or managing renewals. A strong advisor is a strategic partner—helping you navigate pricing, plan design, compliance, and employee experience with proactive, year-round insight.
This article explores how to:
Distinguish between brokers and consultants (and why it matters)
Understand compensation and potential conflicts of interest
Evaluate the capabilities and service model of your current advisor
Run a professional RFP for brokerage services
Hold your advisor accountable post-hire
The terms are often used interchangeably, but they’re not the same:
Reality Check: Most Canadian group benefits professionals wear both hats—but understanding which hat they’re wearing (and who pays them) matters deeply.
A great advisor should provide much more than just your annual renewal. Look for support across four key pillars:
Plan philosophy and funding model selection
Competitive benchmarking
Executive and Board reporting
Total rewards alignment
Market canvassing and RFP management
Insurer negotiation
Underwriting advocacy
Claims reporting and trend analysis
Member education support
CRA/tax guidance
Contract and booklet reviews
Disability risk management
Fiduciary governance framework
If you’re only getting a spreadsheet once a year, you’re severely under-served.
There are three main compensation models in Canada:
Transparency Tip: Insurers disclose commissions in renewal reports—but many employers overlook them. Always ask your advisor for a full compensation disclosure.
When evaluating an advisor, look for:
Deep technical knowledge (especially on pricing and plan design)
Proactive account management (not just renewal meetings)
Access to benchmarking and analytics tools
Clear documentation and reporting
Strategic mindset aligned with your corporate goals
Strong insurer relationships to get you better terms
Commitment to education and transparency
Don’t settle for a pleasant personality alone—results matter.
Pro Tip: The best fit depends on your company’s size, complexity, and internal expertise. Don’t default to size—evaluate capabilities and cultural fit.
.....and if you want the feel of a boutique advisor with deep expertise, tools and benchmarks, take a look and how we can help.
Consider going to market if:
You haven’t benchmarked your plan in 3+ years
Renewal increases are consistently high with no challenge
Claims data is never reviewed or analyzed
You’re managing compliance risk alone
Your advisor isn’t transparent about their compensation
You only hear from them at renewal
A mediocre advisor costs far more than a strong one—just not always in visible ways.
A professional RFP for advisory services should include:
Your goals and objectives (cost control, employee experience, etc.)
Summary of your current plan and pain points
Evaluation criteria (technical, service model, pricing)
Timeline and decision process
Format for submission
Invite 3–5 qualified firms, give them a structured response template, and conduct interviews to assess cultural fit.
Here’s a sample evaluation framework:
Once selected, hold your advisor accountable to:
Annual plan calendar with key deliverables
Quarterly claims reporting
Executive-ready plan performance updates
Benchmarking review every 2 years
RFP every 3–5 years (or earlier if needed)
Ongoing education for HR/Finance stakeholders
Treat this like any other professional relationship: expectations, documentation, and measurable performance.
Group benefits are too important—and too expensive—to delegate to the wrong advisor.
A great benefits partner helps you control costs, avoid risk, and deliver value to your employees. But like any professional service, not all providers are created equal.
If you’re unsure whether your current advisor is delivering what you need, start with a quiet review. Ask for benchmark data. Dig into their compensation. Look at how often you hear from them. Then decide if it’s time to explore new options.
When done right, switching advisors can yield massive improvements in both plan performance and peace of mind.