Everybody wants to choose their own benefits.

A new survey of U.S. employers and employees by Liazon, a company that runs a private benefits exchange, finds that 96 percent of employees said they'd prefer to choose their own benefits, even if many of them would no doubt appreciate a little help from experts.

Liazon is happy to report that employers it surveyed that use its private exchange report a number of improvement in benefit administration.

Seventy-seven percent say they’re satisfied with the exchange and 67 percent say that their benefits administration was streamlined within the first year of implementing the exchange. The company survey also reports that 77 percent of employers spent the same amount or less on benefits after going to the exchange.

Employees, Liazon claims, are even happier with the product than their bosses. Ninety-six percent report satisfaction with the exchange, although only 77 percent of employers believe their employees are satisfied with it.

How do workers select their benefits? Twice as many (61 percent) cited the benefit coverage than its cost (30 percent). Twenty-seven percent said they chose it because it was similar to what they’d had in the past, while 19 percent said they based their selection on a recommendation generated by the exchange.

While psychologists have pointed out that the more options people have, the less happy they are with their choice, the survey didn’t find too many workers complaining about too great a selection. Only 10 percent said there were too many choices on the exchange, compared to 16 percent who said there weren’t enough, 46 percent who felt the quantity was just right and 28 percent who said “there can never be too many choices.”

Liazon also touted results in the survey that it said demonstrated its product’s ability to help workers understand their benefits. More than two-thirds of surveyed employees say they have a better understanding of the costs of medical care since moving to the exchange. Sixty percent say they are more engaged in their health care decisions as a result.

“This year’s data show us that empowered and informed employees are capable of making the right benefits decisions — ones they feel confident about down the line,” said Ashok Subramanian, Liazon’s co-founder and chief executive officer. “As the landscape shifts toward greater adoption of the private exchange model, it will be key for employers to recognize that, with proper support and education, autonomy can be a powerful and motivating factor for employee engagement in benefits.”

Instant Insights /

Employees overwhelmingly want to choose their own benefits

More From HR Executive

Related Stories

Recommended For You