Most benefits RFPs are outdated, ineffective, and poorly suited for selecting the right employee benefits advisor. They treat benefits consulting like buying office supplies — when what you really need is a strategic expert.
You’re not purchasing a commodity. You’re hiring someone who knows far more than you about plan design, risk management, compliance, cost control, technology, and population health strategies. An RFP forces the expert to follow your questions instead of sharing real insight. It’s the blind leading the blind.
Choosing a benefits broker with a traditional RFP is like using a meat cleaver in surgery…clumsy and risky.
A Smarter Way: The 5-Question Capabilities Interview
Skip the lengthy written RFP. Instead, invite top candidates (including your incumbent broker) to deliver a capabilities presentation and interview.
Share your key priorities upfront so they can prepare. Then ask these five powerful questions:
- What can you tell me about your firm and its culture?
Listen for team stability, cohesion, and whether the people you’ll work with actually know and trust each other. You need a team that rows in the same direction when challenges arise. - How do you assess and manage healthcare risk for organizations like ours?
This reveals how they think about your specific risks and whether they communicate clearly — or hide behind jargon. - What benefits strategies would you recommend for us, and how would you execute them?
Look for customized thinking, a clear process, and honest discussions about risk tolerance, insurance vs. self-insurance, and long-term cost management. - What additional services do you provide beyond placing insurance?
Great brokers offer real value — databases, online platforms, consolidated billing, compliance support, and more. - What will it cost, and how do you approach pricing?
Ask for a clear breakdown of broker compensation (commission or fee) and how they plan to control your overall premiums over time. Watch for transparency and creative cost-saving levers.
How to Build a Shortlist (The Efficient Process)
Don’t invite a dozen firms. Start with real preparation:
- Clarify your goals: Are you focused on cost, quality, innovation, board access, or long-term savings?
- Ask trusted CFOs, CEOs, and HR leaders for broker names (not just firms) they respect.
- Limit invitations to three brokers max: your incumbent plus two strong recommendations.
This focused approach saves everyone time and produces far better results.
Final Thought
The best benefits brokers don’t need thick RFP responses or flashy slides. They win by explaining complex issues clearly and having candid conversations about your risks and options.
At the end of a smart process, you’ll gain more than a broker — you’ll add sharp advisors to your network and walk away with fresh ideas for managing your employee benefits.
Stop wasting time on outdated RFPs. Choose your benefits partner the way you’d hire any high-stakes expert: through direct, meaningful dialogue.