What's going on with open enrollment? A Q&A with Emily Bailey

Open enrollment season can be a tricky time of year for employers. Of course employers want their employees to understand their benefit options, but are they doing a good job communicating those options?

Emily Bailey, Regional Managing Principal at OneDigital Northeast discusses the challenges of and tools to use during open enrollment.

As a benefits expert, what are some of the biggest challenges the industry is currently facing? How are employers and employees being affected?

First, rising costs and decreasing access to healthcare providers are some of the biggest challenges facing the benefits industry today. It is becoming increasingly difficult for employers to provide cost-effective health benefits that meet the needs of their employees. Employers are being forced to get creative and think outside the box in order to design programs that both meet the needs and fit the budget. Things like self-insurance, captives, value-based benefits designs, and even ICHRA’s are becoming increasingly popular. While some of these changes don’t have a major impact on the employee- many of these changes can be extremely complicated and require a high dose of participant education.

Second, employers are always striving to provide their employees with an exceptional benefits experience, but oftentimes, they are not always sure the investments they are making are the ones that actually matter to their workforce. This gap in value perception is causing organizations to spend their budget in places that may not be driving value to their people. A recent study (Employee Values Perception Study) highlights these challenges; in fact, employees are left feeling like there’s room for improvement on the benefit offerings, and the employer is left feeling frustrated because they think they are doing the right thing with their programs. We are seeing employers who have started to successfully close this perception gap do so by leveraging comprehensive surveys and research to access data that’s specific to their workforce. This allows them to better understand the unique challenges and pain points their employees feel; rather than relying on benchmarks, and implement programs based on direct employee feedback.

With open enrollment quickly approaching, how should employers communicate benefits information with employees?

Communication of benefits should not be a one-size-fits-all approach. The most successful communication strategies employ a multi-touch and multi-medium approach to ensure that all segments of the population are reached, and there are a variety of different ways to consume the information. It is becoming increasingly clear that employees want access to information electronically, mobile-enabled, and at their convenience.

Attention spans are limited, so using short, easily digestible materials like video can be extremely impactful.

Related: ICHRAs need better individual health insurance options, actuaries warn

What educational resources can employers provide?

Many employers are leveraging resources like virtual benefits fairs, electronic guides, and mobile-friendly benefits election tools to make the process as simple and easy to understand as possible.

We are also aware that employees are turning to online resources, like TikTok, to further educate themselves on financial and benefits-related topics. While those can be informative and engaging at times, having an employer partner with their retirement advisor for more in-depth education throughout the year as well as introducing a financial advisor employees can have 1×1 sessions with ensures that they are getting sound advice at all times. Today, employees can be too easily misled by these well-meaning sources, and deserve access to tailored, reputable resources to support them through their financial journey no matter where they are.

Are there any new technologies or trends in open enrollment that you find promising?

AI will be playing a big role in the future of benefits education. We are still very early in the development and use of AI technology in open enrollment, but I am excited to see the impact it will have on both employers and employees alike. In the next few years, we will see things like AI-powered virtual benefits counselors who will be able to articulate and answer questions on the spot during open enrollment and year-round relating to benefits programs.

What’s one last tip you would share with employers for open enrollment this year?

Don’t be afraid to try something new. Sometimes a fresh approach and a new perspective is just what is needed to gain engagement and impact.

Also, there’s always going to be room for improvement in anything that we do—asking employees for feedback ahead of and after open enrollment can set you and your team up for success without having to play the guessing game.