Today we feature Michael Murray, Franchise Owner, EmployerNomics of Greenville.

Note: EmployerNomics frequently places clients with a PEO to solve the majority of HR problems.

How EmployerNomics can Help Insurance Brokers

With the world of Human Resources becoming more intricate as time goes on, Professional Employer Organizations (PEOs) are becoming more universal. Small employers need to deal with constantly changing HR compliance legislation, employee benefit developments, and increasing healthcare costs, and PEOs are a solution that many find beneficial. These employers rely on these organizations to provide them with the services that they are unable to obtain themselves (for whatever reason), and benefit from the relationship. However, insurance and benefit brokers can also benefit from PEOs.

Friend of a Friend

A good PEO can help an employer better manage compliance and reduce risk – this directly benefits insurers by mitigating the possibility of litigation and other threats. However, many brokers are seeing the advantage of partnering with EmployerNomics, placing their clients with a PEO and adding them to their list of benefits of membership. In fact, some PEOs only work with employers us. This can help insurance brokers be more competitive, attract clients, and maintain loyalty with current customers.

Insurance brokers adopting this strategy can stand out in a market that is very competitive. Employers continue to want more value from the service they pay for, and many PEOs are marketing directly to them, offering payroll, administrative, and compliance solutions. Because of this, partnering with a PEO can not only help bring in new clientele, but protect (and even improve) the retention of clients in brokers’ books.

What To Look For and When

Finding a PEO Broker (like EmployerNomics) that works directly with insurance brokers to provide services to employer clients can help mitigate the risk that a PEO will attempt to market their services to those employers directly and poach them from brokers – a mutually-beneficial partnership can work more effectively than a competitive relationship. Small employers like using PEOs – they can access benefits and services that they are otherwise unable to get on their own. In fact, the PEO industry grew from 2015 to 2020 at an annual rate of 5.2%. Clients of PEOs are generally happy with those partnerships as they have seen higher survival rates, more growth, and better employee retention.

Instead of viewing PEOs as competition, it can be beneficial to recognize them as a resource. Many insurance brokers are starting to offer these services as part of their benefits, which can be a threat to brokers who currently do not – they may find themselves losing clients, especially during this period of chaos in HR compliance and risk management. Employers want to ensure that they are effectively able to navigate those issues, and PEOs are delivering.

Retain Clients – and Income

Brokers considering new ways to attract and retain clients may wish to investigate partnering with EmployerNomics as their PEO Broker if they have not already. With the growth of the industry, and more services being offered to help employers traverse payroll, compliance, and healthcare issues, PEOs seem like they are here to stay.

Do you like happy clients? Could you use a second source of income?

Let’s start a conversation:
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