It's no secret that we are in the midst of a revolution in howemployers manage their insurance benefits. Enrolling andadministering benefits was once a manual process involving plentyof paperwork, but much of this work has now shifted to electronicbenefits platforms. A recent LIMRA survey, Convenient andConnected: How Are Employers Using Technology Today?, found that 59percent of employers are now using a technology platform forinsurance benefit enrollment, administration, or both. In addition,more than 1 in 3 firms that do not use technology are currentlylooking for a platform.

Brokers can provide value to their clients by helping them finda technology system that meets their needs. In fact, over onequarter of employers say their broker should have primaryresponsibility for researching and evaluating possible technologysolutions. However, to do this successfully, it is necessary tounderstand what problems employers are trying to solve withtechnology.

The advantages of benefits technology tend to fall into twocategories: improving the experience for HR/benefits staff andimproving the experience for employees. While employers see thevalue of both aspects, it is clear that the desire for technologyis driven more by HR needs such as reducing costs, improvingmanagement of benefits data, and reducing the time and resourcesneeded to administer benefits, rather than employee needs (Figure Xon page 32). In seeking technology, employers are, first andforemost, trying to make their own lives easier.

This provides insight into some of the key features employersare seeking in technology, many of which revolve around greaterconvenience in managing benefits. For example, 80 percent ofemployers say it is important for a technology platform to beaccessible all year so they can use it for ongoing administrationand updates, rather than a “one-and-done” enrollment system.Ongoing access is one of the top features employers look for in aplatform, with sizable portions also specifying that they want asystem that can enroll new hires and support ongoing life event andcoverage changes.

I would love to find a product … that would allow us toreduce the amount of time that we spend during the enrollmentprocess and also during the course of a year, adding employees orterminating employees.

—Employer with 65 employees (Voice of the Employer, LIMRA,2016)

Similarly, 77 percent of employers want a technology system thatcan manage all of their benefits on the same platform, regardlessof which carriers are providing the products. Consolidatingbenefits on one platform helps employers save time and allows themto quickly get a complete view of their overall benefits package inone place. In fact, employers that currently manage all of theirbenefits on one platform are more satisfied with their technologythan those that don't have this capability. Moreover, roughly 1 in6 employers say the ability to handle all benefits in one placewould motivate them to switch technology platforms.

Employers also want the convenience of a platform that smoothlyintegrates with other technology systems, including carrier,payroll, and HRIS systems. When it comes to carrier systems,employers want to feel confident that no errors are occurring inthe data transfer and don't want to spend a lot of time checkingfor mistakes.

Our HR benefits administrator has spent an exorbitant amountof time trying to, literally person by person, dependent bydependent, go through each little piece and figure out whysomebody's kid is getting dropped…So I think I'd like to see thosecommunications [work] a little bit better.

—Employer with 320 employees

Employers also want technology to integrate with their payrolland other HRIS systems so they do not have to make changes inmultiple systems, which is perceived as time-consuming andinefficient.

And those two systems…they don't communicate with each other…Without that communication, it's almost like double work because ifthere's an address change or anything like that, you have to go toone system, then go to another, and that just seems broken tome.

—Employer with 32 employees

While employers are primarily seeking convenience for their ownHR staff, it is important to note that they would like this valueto extend to their employees as well. Overall, 85 percent ofemployers think it's important that an enrollment platform be easyand intuitive for their employees to use. In fact,user-friendliness is often one of the first priorities that comesto mind when employers describe their ideal platform.

I want to make sure it's easy, as simple as possible, as fastas possible, and I don't want it to be a burden every year.

—Employer with 30,000 employees

When it comes to selecting benefits technology, it is clear thatconvenience is key. By guiding employers to technology solutionsthat will make it quicker and easier to administer benefits,brokers can improve the experience for everyone involved and helpthe industry move into the future.