Carrier switch savings calculator: is changing carriers worth it over several years?
A lower first-year quote is only part of the story. This calculator compares total premium over several years and subtracts the one-time cost of switching.
Estimate your net savings from switching
Enter the current renewal premium, the new carrier quote and a few planning assumptions.
The renewal premium you would pay if you stayed.
Employee communication, administration and any plan transition costs.
Applies equally to both carriers. Use rate guarantees in the quote if you have them.
Your estimate
This calculator gives a planning estimate only. It assumes the same annual increase for both carriers and ignores differences in benefits, networks and claims experience.
Look past the first-year price
Carriers can price the first year aggressively and recover it at renewal. Comparing several years, with realistic increases for both, shows whether the savings last. A rate guarantee in writing is worth asking for and is worth including in this comparison.
Count the cost of change
Switching has a cost even when the premium is lower: employee communication, new ID cards, network changes and deductible accumulators that restart. Those costs are usually small next to a meaningful savings, but they can erase a very small one.
Common questions
Should I always take the lowest quote?
No. Compare the networks, benefits, cost sharing and service. A lower premium with a narrower network may cost employees more.
What are rate guarantees?
A commitment to hold rates for a set period or cap the next increase. Get it in writing and read the conditions.
Is mid-year switching possible?
It depends on the carrier and plan. Most employers switch at renewal. Ask your broker.
Does switching affect deductible progress?
Often yes. Deductibles typically restart with a new carrier, so consider timing.
Talk to us about going to market
Book a 30-minute call and we will look at your renewal, your claims and what other carriers would offer. Visit us at 41000 Woodward Avenue, Suite 350 East, Bloomfield Hills, MI 48304, or call 248.370.8853.
Unhappy With Your Current Broker?
Switching to CFH takes one signed letter. Your carrier, plan, ID cards and payroll deductions stay the same.
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An independent employee benefits consulting firm. We look at the entire benefits program — cost, plan performance, risk and administration.
Switch to CFH. Unhappy with your broker? Your employees won’t notice. You will. →