How do I choose the best health insurance provider for a company of 50 employees?

By Penny Morey

Opinions expressed by Entrepreneur contributors are their own.

We currently have a health plan in place with a POS. We are trying to look for better offers in the market. Where can I go to research this?
The best thing to do is ask other human resource professionals for referrals to insurance brokers who have served their companies well. Do you belong to a local chapter of the Society for Human Resource Management (SHRM)? If not, visit to find a local chapter. There will be human resource professionals in the local chapter who know the best local brokers for companies your size. If this isn't possible, talk with the financial managers at other companies and ask them for referrals.

Ask the first broker you contact for what he needs on an employee census in order to put together his recommendations for you--it's all very standard information, such as employees' age, sex, ZIP code, family vs. single coverage, etc. It isn't necessary to provide names on this census. The carriers use the data to determine how many of each category you will most likely be insuring so that they can quote rates on the different medical coverage plans that they offer. Most carriers offer a PPO, a POS, and many also offer high-deductible plans with a health savings plan option, and HMOs. So the broker should provide you with a spreadsheet showing the various plans and carrier choices available.

I recommend that you ask three brokers for their quotes and do a comparison between the spreadsheets they present to you. Ask plenty of questions and check references. Talk with clients that are a similar size to your company so that you know the kind of service the broker gives. The odds are that you will find the best plans and services using this methodology.
Wavy Line

Penny is a seasoned human resources executive and consultant with over 25 years of diverse business experience in advising enterprise leaders on employment-related matters.

Editor's Pick

A Leader's Most Powerful Tool Is Executive Capital. Here's What It Is — and How to Earn It.
One Man's Casual Side Hustle Became an International Phenomenon — And It's on Track to See $15 Million in Revenue This Year
3 Reasons to Keep Posting on LinkedIn, Even If Nobody Is Engaging With You
Why a Strong Chief Financial Officer Is Crucial for Your Franchise — and What to Look for When Hiring One

Related Topics

Growing a Business

My Startup Scored a Multimillion-Dollar Contract With a Fortune 100 Client in Just 3 Years. Here's What We Learned.

There's no perfect litmus test to gauge if you're ready to go after big business or not — but if you don't take the risk, you'll never realize the reward.


5 Questions to Ask a PR Pro Before Hiring Them

You probably haven't considered asking these questions, but they're a great way to find the right PR firm for your business.


This Location-Based Marketing Technique Is the Key to Boosting Retail Sales

Let's take an in-depth look at geofencing marketing and how it's helping retail locations drive foot traffic and boost sales.

Growing a Business

The Inevitable Challenges You'll Face as Your Business Grows — and How to Handle Them

There's going to be some discomfort as your business expands, but it doesn't have to stop you from achieving massive success.


Working Remote? These Are the Biggest Dos and Don'ts of Video Conferencing

As more and more businesses go remote, these are ways to be more effective and efficient on conference calls.