COVID-19's impact on open enrollment and employee benefits

Health care benefits make up a significant portion of the overall benefits cost to both employers and employees. In the wake of the continued pandemic, additional factors need to be taken into consideration when preparing for this year's open enrollment:

Prepare for possible price increases. The global pandemic has put a strain on the health care system, which could be reflected in higher premiums.
Be open to health care benefit plan design changes and different plan options than you've offered in the past. Higher deductibles and increased out-of-pocket maximums can help reduce premiums and overall benefit costs to both employers and employees. And to offset financial changes for employees, you can pair a high-deductible health plan (HDHP) with an employer-sponsored health savings account (HSA) to provide valuable tax advantages, bridge the gap between the higher deductible and coverage and help them better manage costs while taking a more active role in their own health care
Revisit your overall benefits portfolio, evaluating utilization and cost. Pay special attention to benefits that may no longer be relevant, as well as benefits that can help with overall financial wellness, such as HSAs and student debt assistance, as financial focuses will continue to be top of mind for many over the next 18 months. And remember—working remotely is no longer a standout benefit in the age of the COVID-19 pandemic—it's an expectation.
Move quickly. Don't wait until the last minute to review your current offerings and explore new options. Any changes or updates you need to make will require some time to evaluate, approve and implement before open enrollment hits.

A renewed focus on affordable health care

Employee benefits play a critical role in both your overall compensation package, as well as your organization's culture. What you offer can be a valuable tool in attracting and retaining top talent. Unfortunately, it can also be a deterrent if what you offer doesn't add up for employees.

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3 steps to ensuring a successful open enrollment during a pandemic

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