Closing Communication Gaps in Annual Enrollment

A Watson Wyatt Worldwide study finds employers satisfied with the transactional aspects of annual enrollment but concerned about employee communications as plan changes and enrollment options become increasingly complex.

The study by the leading global consulting firm found that employers increasingly use enrollment to fully engage employees in their health-care buying decisions.

But areas they highlight for improvement include:

• Employee communication — cited by 67 percent of the companies as their top challenge in the last enrollment cycle.
• Health information
• Decision support

Medicare D is a great illustration of the need for decision support. The program's creation meant another part of the medical puzzle for HR Managers to explain to retirees wondering which Medicare D plan to select.

SunTrust Bank, a Benefit Advocates Client, called on us to help their retirees with Medicare D — transferring any retiree requiring Medicare D assistance from SunTrust’s outsourced benefits administrator to one of our Benefit Advocates to explain the process. Most retirees had excellent coverage through the SunTrust plan and did not require a Medicare D plan.

Each fall, we send representatives to the Deere-Hitachi Construction Machinery Corp. manufacturing plant in Kernersville, N.C., to assist employees with open enrollment. We also assist new employees with benefits elections after hiring. The choices they make are important for morale and the bottom line: Studies show that when employees make poor benefit elections they report high levels of dissatisfied with their overall benefit plan.

Another client — South Carolina Electric and Gas, a SCANA company — turned to our telephone enrollment for retirees when their medical benefit plans and funding options changed. The retirees call a designated toll-free number to talk to one of our Benefit Advocates and make their medical elections. They can ask questions and receive the help they need to understand the upcoming changes and become comfortable with their elections.

This exact approach — a mixture of internal and outsourced resources — got high marks in the Watson Wyatt survey. The most satisfied employers were those using a mixture of internal and external resources to support their employees through the enrollment cycle. In contrast, fully half of the organizations supporting the process solely with local HR representatives reported being dissatisfied or neutral in their enrollment experience.

The need for accurate information is great. According to a survey of 2,100 employees by PLANSPONSOR magazine, 43 percent say they don't understand what is covered by their health plan. Nearly half can't describe their plan’s co-pay structure or deductibles.

Let us partner with you to engage your employees and help them become savvy benefit consumers. Call 800-344-5677. Collaborating with The Benefit Advocates is a win-win for everyone.

Linda Carter, manager of Client Services