broker

What is a health insurance broker?

Brokers and web brokers pre-date the ACA; they’ve been helping clients purchase health insurance for decades. During the open enrollment period for 2024 health coverage, more than three-quarters of all active enrollments in the federally-run Marketplace (HealthCare.gov) were facilitated by a broker.¹

With the rise of the internet, many brokers have become web brokers over the last couple decades, providing their clients with user-friendly, side-by-side plan comparison tools and online applications for health insurance. Brokers continue to serve an important role in helping their clients enroll in ACA-compliant health insurance.

Unlike Navigators and certified application counselors (CACs), brokers can make specific plan recommendations, and can help people enroll in plans both on and off the exchange. Brokers are licensed by the states in which they work, and are paid commissions by health insurance carriers. The premium that a person pays for their coverage is the same regardless of whether they use a broker or not.

In order to be certified with the exchange (either the federally-facilitated HealthCare.gov or a state-run exchange), a broker must complete the exchange certification process in addition to the state licensing requirements. Brokers continue to provide ongoing support to their clients after the enrollment process is complete.