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Ready to Make Changes: A Business’ Tips for Open Enrollment

It’s that time of year again: Open Enrollment. This year, instead of just going through the motions, imagine using this time as a powerful chance to truly refine your employee benefits. It’s about moving beyond simple preparation, and instead, actively looking for ways to adapt and improve. This proactive approach can make the whole process smoother, more effective, and ultimately, better for both your company and your team.

The Evolving Landscape of Employee Benefits

In business today, employee benefits are much more than just a standard offering—They’re actually a crucial tool for bringing in, keeping, and supporting your people. How employees see and use their benefits is always changing, influenced by everything from the economy to their personal well-being. This means open enrollment isn’t just about renewing old plans, but about strategically adjusting to these shifts. It’s a key moment for businesses to figure out what really works, spot any gaps, and make improvements that truly connect with their team. Having a clear, structured plan is essential for a successful open enrollment season, making sure you meet these changing needs. Here are the essential steps to follow:

Step 1: Research Your Options

The world of benefits is always shifting, with new plans, technologies, and rules constantly emerging. It’s crucial to start by thoroughly researching and understanding all your choices and figuring out how they fit with your company’s goals, as well as what your employees truly need.

  • Look at What You Have: See what’s changing with your current benefit plans and what’s staying the same. Don’t forget to consider any feedback from employees from the year before.
  • Explore New Market Options: Investigate any new plans, providers, or types of benefits (such as financial wellness programs or expanded mental health support) that could offer better value, improved coverage, or just be more budget-friendly for your company and your people. It’s important to note that 73% of employees are increasingly looking for personalized benefit offerings, according to a 2022 Willis Towers Watson Global Benefits Attitudes survey.
  • Stay Compliant: Double-check that all your benefit offerings meet the latest legal and regulatory rules, like ACA, COBRA, and any state-specific laws.

This first dive into research is critical for setting the right path for your Open Enrollment.

Step 2: Establish a Budget

Benefits are a big investment for any business, so making sure what you offer lines up with your financial capacity is a must. A clear budget helps ensure you can keep providing competitive benefits sustainably.

  • Crunch Your Current Numbers: Go over past benefit spending, including premiums, admin fees, and any other hidden costs.
  • Look Ahead: Based on your research and market trends, try to predict expected increases in premiums or costs for new programs. Think about inflation and how much people are using benefits.
  • Balance Cost and Value: While keeping an eye on expenses, remember that competitive benefits are a huge draw for talent. A Bank of America 2023 Workplace Benefits Report revealed that 70% of employees are willing to change jobs for better benefits, underscoring the importance of your benefits package in recruitment and retention.
  • Think About Contributions: Decide on fair employer and employee contribution levels that are both competitive and sustainable.

Setting a realistic budget early on helps you make smart decisions about what plans to offer and how to design them.

Step 3: Communicate with Employees

Once you’ve got your options sorted and your budget set, creating a solid communication plan is the next big step. Good communication makes sure your employees are well-informed, feel supported, and can pick the best options for themselves.

  • Map Out a Timeline: Pin down specific dates for initial announcements, info sessions, and friendly reminder messages. Get a calendar going for all your outreach.
  • Keep Messages Clear and Easy to Get: Put together materials that are straightforward and simple to understand, explaining plan changes, new choices, and how to enroll. Skip the technical jargon that might just confuse people. It’s more important than ever for clarity. In fact, a 2022 Gallup poll found that only 1 in 3 U.S. employees strongly agree that their employer’s benefits communications are clear and easy to understand.
  • Highlight Key Dates and Deadlines: Emphasize those important deadlines for enrollment, meeting schedules, and when new benefits kick in.
  • Offer Diverse Communication Channels: Use a variety of communication methods including emails, team communication apps, printed guides, and online or in-person meetings to make sure you reach everyone effectively.

A communication plan that’s executed well will cut down on confusion and make the decision-making process much smoother for your employees.

Step 4: Review & Make Changes Annually

Open Enrollment isn’t just a yearly chore, it’s your annual chance to strategically review and tweak your benefits package. This ensures it keeps lining up with your business goals and what your employees actually need as things change.

  • Get Employee Input: Run surveys, chat in focus groups, or just have informal talks to understand what employees truly value, what challenges they’re facing, and if there are any new benefits they’d like to see.
  • Check Plan Performance: Look at claims data, which benefits are being used, and if your current plans are truly cost-effective. Are they delivering the value you expect?
  • See How It Aligns with Business Goals: Does your benefits package help you attract and keep talent, and does it fit your company culture? Are there ways to save money or increase employee wellbeing?
  • Make Necessary Tweaks: Based on your research, budget, and feedback, be ready to make smart changes to your plans, providers, or even your communication approach for the coming year.

This yearly review makes sure your benefits offerings stay competitive and relevant.

Step 5: Utilize Technology & Resources

Harnessing the right technology and outside help can really boost how efficient and accurate your Open Enrollment process is, all while making the experience better for your employees.

  • Online Enrollment Platforms: Use platforms that make it easy for employees to pick their benefits with user-friendly interfaces and automate data collection for HR, cutting down on manual mistakes.
  • Benefit Administration Software: Use software that plugs right into your existing HR and payroll systems. This cuts down on typing in data by hand, produces more accurate data, and streamlines administrative tasks. Think about the time savings: a 2023 HR.com report indicates that organizations spend 20 hours per week, on average, dealing with benefits-related administrative tasks. Automation can significantly reduce this burden.
  • Communication Management Tools: Use digital tools to send out information, track how employees are engaging, and handle questions efficiently.
  • Partner with Experts: Consider bringing in benefit consultants. They can offer market insights, guidance on compliance, and administrative help, which frees up your internal teams.

Embracing technology and leaning on outside expertise doesn’t just make operations smoother, it also gives employees a more user-friendly experience.

Conclusion: Embrace Open Enrollment

Open Enrollment might seem complex, but it’s a seriously important moment each year for both your business and your employees. By taking a proactive, smart approach—researching options, budgeting wisely, communicating clearly, checking in annually, and using technology and expert help—you can transform it from a daunting chore into a seamless, positive experience. Don’t just see open enrollment as a rule you have to follow, see it as a powerful way to invest in your workforce’s well-being and fuel your organization’s continued success.

Insights By

Megan Wright