Takeovers are a common occurrence in today's benefits landscape. In fact, a recent study from the consulting group Eastbridge found that 80 percent of carriers have seen their voluntary takeover volume increase over the past three years. Plus, 95 percent expect the volume of takeover business to actually increase in the coming years.

I'm a big believer in putting the customer at the center of everything you do, from a product or a service you provide to the culture your workplace fosters. And I understand there are times where, if there is a better product available or a carrier isn't the right fit, a takeover may be the right decision for a client. But I've also seen that too many of these takeovers can risk leading to drawbacks for brokers, employers and, importantly, the end customer – the employee.

Here's a look at a few of the risks.

Risk #1: Employees lose out on coverage.

As you likely know from experience, employees aren't always familiar with their coverage. If there is a takeover and portability is an option, they may not know how to keep existing coverage if payroll deduction is no longer supported. In situations like this, employees can actually lose coverage they previously found useful. In other cases, they may end up paying more for purchasing coverage at a later age. Another risk: Employees will also have to familiarize themselves with the new policy once the takeover is complete. That can ultimately lead to a disappointed employee who will lose features they valued or a frustrated one who isn't familiar with what the new coverage offers.

Risk #2: Employers lose on level of service.

For many brokers, service can be a deciding factor when it comes time to change carriers. When you're introducing a new carrier's benefits after a takeover, you might also be introducing new service solutions and processes for an employer to administer. This can throw existing processes and any sense of familiarity and comfort into chaos. If the carriers your clients are working with are constantly changing, it's hard for them to manage these processes effectively. Too many takeovers can contribute to shaky service that employees — your ultimate customers — will notice.

Risk #3: Brokers lose out on business.

It's not just about service. Too many takeovers can start to reflect poorly on a broker in other ways. Put yourself in the employee's shoes. If you're seeing the offerings constantly change, you might get the sense that the products your employer is offering aren't very good to begin with. That's ultimately going to be a reflection on you, and I know you don't want that.

Takeovers are a reality

Big picture: Takeovers aren't going away anytime soon and in the right instances, they're a critical way to better serve clients. All the more reason to be mindful of the risks involved and factor those into your decision-making process when considering a shift. In the end, your long-term relationship with your client should always be focused on what's right for your end customer — their employees.