Employee benefits are mostly offered to workers who actually perform tasks that employers deem worthy of compensation. However, there are quite a few services that are as valuable to the family of a staff member as they are to that employee herself. Consequently, companies must carefully review their offerings to ensure that workers are pleased with such coverage arrangements.
However, it is important not to let spending on these kinds of benefits get out of control. It is one thing to provide a plan for an employee. It is quite another thing to extend it to a husband and three children. Consequently, employers should perform frequent eligibility audits to ensure that there aren't errant family members who are no longer in the familial fold, as it were.
For example, during a divorce or separation, the documentation that indicates who is still a dependent or part of one's family can fall through the cracks. Without frequent audits, companies can end up paying for extra health insurance policies for months or years more than they're obligated to. This can lead to significant losses and will quickly drain the resources of a small business.
