Quick Summary: A lot has been written about the need to provide employees with benefits information so they can make educated benefits decisions. That’s a given. But as you prepare for your next open enrollment, remember that knowing the details isn’t the same as understanding them. Helping employees interpret the information should be part of your communication plan.
The biggest challenge comes with the complexity and ongoing change found in health care plans. Your employees may stick with an old plan because it’s familiar, when a newer offering might be a better choice for them. Or they might avoid the high deductible plan because the number looks so large, never realizing that it may actually save them money in the longer run.
But it’s not just health care plans. Flexible spending accounts, for example, are one of the most underused benefits, typically because employees aren’t sure if or when they need them and are afraid they’ll lose their money.
Employees wonder, “How does this affect me?” And what they need are “rules of thumb” and tools to help translate benefits offerings into what’s best for them and their families.
Here’s how you can help:
1. Examples, examples, examples. People relate to examples, so create a variety of family scenarios and explain what might be the wiser plan choice for each situation and why. The why is crucial.
2. Form peer groups. Consider inviting together groups of employees in similar circumstances—singles, young families, empty nesters, those with a chronic illness, for example. You might do this in an informal “brown bag lunch” format to encourage discussion. Participants will learn from each others’ questions and experiences.
3. Encourage priorities. Suggest that employees write down 5 priorities for health care. It might be keeping their doctor, lowering office visit copayments, maternity care, preventive care, or disease management plans. Will they sacrifice choice for cost? The answers provide a starting point for their review of medical options.
4. Provide tools. Create worksheets that make “apples to apples” comparisons of your plans. Or offer cost estimator sheets that help employees plot their annual medical, dental, or vision expenses. Promote the use of online decision-making tools, but only as part of the process.
5. Link benefits options. Show employees how they can choose a plan with a higher deductible and then use a health savings account or flexible spending account to pay that deductible with tax-free funds. Or explain how using the FSA to pay infrequent dental and vision expenses might be less expensive than paying the premiums for coverage.
Next Steps:
• Look for patterns in employee questions to help identify areas where they need decision-making assistance—and then respond with answers in your various media avenues.
• Enlist the aid of your plan vendors to determine what tools already exist. Then ask the vendors to create new tools.
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