The increase in health insurance premiums is a reality that both insurers and clients must face year after year. As an insurance agent, your role is crucial in helping policyholders understand these increases and find viable solutions that allow them to maintain their coverage without drastically affecting their finances.
Here we share five key strategies that will help you face this challenge and strengthen your relationship with clients.
1 Understand the Causes of the Increase and Explain Them to Your Clients
The first step in addressing the increase in premiums is to understand the reasons behind these adjustments. Some of the most common factors include:
✅ Increase in healthcare costs: Hospitals and healthcare providers raise their rates due to inflation and growing demand.
✅ Aging population: A higher number of people with medical needs implies more claims, which influences premiums.
✅ Government regulations and changes in health policies: New regulations may require insurers to expand coverage, impacting costs.
As an agent, it is essential to educate clients about these factors and help them understand that this is not an arbitrary increase, but an adjustment based on real costs. Use reliable sources such as CMS.gov or HealthCare.gov to support the information.
2 Review and Adjust Policies According to Real Needs
Many clients pay for coverage they do not actually need or are unaware of more affordable options. This is where your advice becomes invaluable.
📌 Annual policy review: Analyze your client’s current plan and determine if there are more accessible options within the same insurer or with another provider.
📌 Plans with specific healthcare networks: Many insurance plans offer lower prices if the insured agrees to receive care only in certain hospitals or with doctors from a specific network.
📌 Consider plans with higher deductibles: If a client has few medical needs, a plan with a higher deductible and a lower premium may be a viable option.
Make sure to compare different options using platforms like eHealth or HealthSherpa to find the best alternative.
3 Take Advantage of Available Subsidies and Tax Credits
Many clients are unaware that they may qualify for state or federal subsidies that reduce their monthly premium costs. As an agent, you can guide them to verify if they are eligible and help them in the application process.
Key platforms for checking subsidies:
✅ HealthCare.gov → To access subsidies under the Affordable Care Act (ACA).
✅ KFF Subsidy Calculator → Quickly calculates whether a client qualifies for financial assistance.
Tip: Also review group or family plan options, which in some cases may be more cost-effective than individual plans.
4 Encourage the Use of Preventive Benefits and Wellness Programs
A client who takes advantage of the preventive benefits of their insurance is a client who will reduce their healthcare expenses in the long term. Many insurers offer discounts or additional benefits to insured individuals who participate in wellness programs, such as:
✅ Discounts on gyms and physical activity
✅ Free preventive check-ups and vaccinations
✅ Chronic disease management at no additional cost
Medicare, for example, has several incentives for prevention (Medicare.gov). Encouraging your clients to take advantage of these resources not only improves their health but also helps keep premiums stable by reducing excessive use of medical services.
5 Implement Technology to Improve the Client Experience
Digital tools can make your work as an agent more efficient and improve the policyholder’s experience. Today, there are multiple platforms that allow you to:
📌 Compare plans and rates in seconds
📌 Automate client follow-ups through emails and reminders
📌 Facilitate document management and electronic signatures
Incorporating these technologies will allow you to save time, reduce errors, and provide faster and more personalized service to your clients.
The increase in health insurance premiums is an inevitable challenge, but as an agent, you can make a difference by educating your clients, adjusting coverage according to their needs, taking advantage of subsidies, promoting prevention, and using technological tools to optimize management. By applying these strategies, you will not only help your policyholders reduce costs but also strengthen trust and long-term loyalty.
