Employers may find it difficult to cope with the many changes occurring in healthcare and insurance, even if many of them prove to be beneficial.
Employee benefit plan administration and design are being altered at many levels this year, and the U.S. Supreme Court's decision upholding the Patient Protection and Affordable Care Act (PPACA) means that additional changes will be coming in the years ahead as more provisions are implemented. If health reform is successful, more people will be covered by insurance and per-person costs will decrease as that occurs.
Still, plan administrators and sponsors should be working to prepare a Summary of Benefits and Coverage for workers, which will be required for any open enrollment period beginning on or after September 23 of this year. companies may wish to go over this and other steps to complete by open enrollment now to ensure they have a plan to accomplish their goals and meet HR compliance requirements.
Mercer recently released a guide meant to outline key issues for the year, helping businesses take stock of the situation, prioritize and plan their next moves. Educational efforts leading up to open enrollment may be a valuable part of preparing, encouraging workers learn about and properly make use of their coverage. Employee benefits were cited as an important reason for people to choose their positions by almost 80 percent of workers, and an even higher percentage has indicated that health coverage may be as important a part of compensation as their salary.
Items to deal with before open enrollment
Despite the importance of healthcare reforms, many employers seem to lack a fundamental understanding of some of the coming changes. Industry experts and consultants may be able to help firms ensure that they are aware of all the ways the PPACA and other changes will impact them so that their planning is comprehensive and does not have harmful gaps.
Businesses that have or are considering a wellness program should consider how reforms might affect their initiative. There may be opportunities to tie wellness to healthcare costs, or some previous methods might not be available once changes are made.
During open enrollment and afterward, electronic communication and educational efforts might make it easier and cheaper to reach employees. While data security can be a concern, workers may be more receptive to receiving information online, strengthening enrollment rates. Making information available that way could also boost their understanding and make them more savvy consumers of healthcare.
