Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Employee Benefits topic
No spam. Unsubscribe anytime.
Gallagher tells Dickinson County switching brokers could lower consultant fee; offers flat-fee proposal
Summary
Employee benefits consultants from Gallagher presented a strategic, data-driven benefits plan to Dickinson County commissioners and proposed becoming the county’s broker, citing an estimated reduction in per-employee consulting costs and offering to transfer and own the county’s benefits administration platform.
Andrea Taylor, an employee benefits consultant with Gallagher, and Mike Minton, Gallagher area vice president, presented to the Dickinson County Commission on the firm’s benefits consulting services and proposed becoming the county’s broker of record.
Taylor opened the presentation by thanking commissioners for the opportunity: "Okay. First, just wanna, thank you for having us here today. We met with your team over the last couple of months and provided them with preferences to, check on. And then after that, we were invited to present to you today. So, thank you for this opportunity." She said Gallagher focuses on data-driven benefit strategies, local market relationships and an on-the-ground account manager.
The presentation centered on two financial points: how the county currently pays for consulting services, and Gallagher’s proposed alternative. County staff reported to Gallagher that the county’s most recent monthly medical premium payment was $123,000 with 106 employees enrolled; Gallagher presented that annualized medical premiums based on that figure are just over $1.4 million. Under the county’s current model, Gallagher said consultants earn 5% of medical premiums; Gallagher calculated that 5% of the county’s annualized premium would be about $73,906 and that the current consultant fee equated to about $58.10 per employee per month.
Gallagher proposed two changes: (1) take broker-of-record to manage the county’s current plan as-is and lead renewal negotiations, and (2) charge a fixed consulting fee rather than a percentage of premiums. Under Gallagher’s example pricing, the company estimated a consulting fee of $33.80 per employee per month (versus the county’s reported $58.10), and projected that, all else equal, the county could save roughly $22,400 in 2026. Gallagher said the county could also purchase (rather than license through its current consultant) its benefit administration platform, Employee Navigator, for an upfront cost Gallagher presented as about $8,500 the first year and roughly $6,000 per year thereafter for ongoing fees and ACA reporting support.
Mike Minton emphasized Gallagher’s compliance resources and analytics capabilities. He said Gallagher uses a data warehouse that carriers such as Blue Cross Blue Shield feed into and that the firm performs compliance reviews and annual compliance calendars for new clients.
Taylor framed the pitch as local service: "I have a vested interest in the community and in your employees, and I want what's very best for them and for the organization as a whole, for the community, the county." She told commissioners Gallagher would continue existing administrative workflows if the county preferred—“We wouldn't change anything even if you said don't change a thing. We wanna keep everything as is.”
No formal action was taken at the meeting. County commissioners asked follow-up questions about the proposal and about how Gallagher would implement a transition if the county chose to change brokers. Commissioners and staff indicated they will review the materials and the sample consulting agreement Gallagher provided as part of the county’s ongoing budget and procurement work.
The presentation materials provided figures and a sample consulting agreement; Gallagher asked the commission to consider a broker-of-record letter effective Jan. 1 of the next plan year as the first step in a potential transition.
