Most employers don't really know what impact health care reform will have on the benefit coverage they offer over the next five years.
Roughly half of human resource managers and benefits administrators responding to a survey from Colonial Life say they're unsure of reform's impact.
"Not surprisingly, health care reform has created a state of confusion among employers," says Randy Horn, president and CEO of Colonial Life. "Although voluntary benefits like those provided by Colonial Life aren't considered qualified health insurance and won't be affected, employee medical benefits are certain to change. That means the need for clear, effective communication so employees can understand their benefits will be stronger than ever before."
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According to the survey:
- 49.5 percent of respondents were unsure of health reform's impact
- 19.5 percent expect to increase the benefits they offer
- 17 percent expect to decrease the benefits they offer
- 13 percent felt health care reform won't have any impact on the benefits offered
Voluntary benefits are important
All most all (96 percent) of the respondents to the survey said voluntary benefits are important to their benefits package. Nearly 60 percent said voluntary benefits are very important to their benefits plan. "Employers who offer voluntary benefits know how valuable they are," says Horn. "Voluntary insurance coverage will still be a very relevant part of employee benefits in the future."
Room for improvement
About half employers said they weren't completely satisfied with employee participation in their voluntary benefits program. Of those, nearly half would consider switching to an enroller-assisted method.
"While voluntary benefits continue to gain momentum in the marketplace as a tool to help employers fill gaps in their benefits plans, employers still see room for improvement in participation levels," says Horn. "That's where enroller assistance can be helpful. Using benefits counselors at enrollment to provide face-to-face support helps improve employee understanding and appreciation of their benefits, which can lead to increased participation."
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