Human Resource
Open Enrollment: How to Make it Simple with Technology
Open Enrollment (OE) is the time when employees or individuals
can sign up for an insurance plan, or switch to an alternate plan. This is an
annual opportunity to review the benefits coverage options and make choices for
the upcoming calendar year.
Suppose if someone moves to a new state, marries, divorces
or has a baby, open enrollment is the only time to sign up for individual
health insurance under the Affordable Care Act. And, taking necessary actions
during the open enrollment period is important for any individual who wishes to
buy/change the health insurance plan.
Open Enrollment: Get Yourself Ready to Apply for 2020 Coverage
During open enrollment, anyone who wants to purchase
insurance through the public exchange has the opportunity to do so despite
circumstances, such as health or age. As, outside of the open enrollment
period, it can be difficult to obtain insurance, either public or private
unless circumstances dictate. This is the time when employees can enroll
themselves for the next ‘Plan year’ and the system that manages this event is
called “Open Enrollment Management System”.
One should actively enroll during the open enrollment period
to get the benefits
solutions that meet your needs.
And the reason is
here:
Selections made during Open Enrollment will become effective
for the entire year before the start of the next open enrollment period. You
cannot change your benefit selections until the next open enrollment unless you
experience a qualifying status change.
If you do not actively select benefits for the upcoming
year, you will be enrolled in the same benefit plans at the same level of
participation that you have in the current year, with the exception of flexible
spending accounts.
Hence, you must actively enroll in spending accounts each
year to participate as an employee - whether you work in retail & ecommerce, shipping & logistics, banking or any other industry.
Transactions to be done in Open Enrollment
- Add new dependents and enroll in all plan
- Delete Dependents
- Plan change
- Verification for all plan types
- OE finalization
- Print forms verification
- Editing of enrollment in OE and verification of changes in
schedule
- No changes during OE
Open Enrollment: Simplify it with Technology
Open enrollment (OE) is a very challenging and time-consuming
process. But with planned groundwork, clear communication, and the use of a
tailored approach, the OE can be simplified and made hassle-free. The use of HR
technology can save a lot of time and money, making the process efficient and
user-friendly.
Technology has the potential to simplify the open enrollment
procedure. With technology-based open enrollment, every step of the benefits
management process is automated, which in turn eliminates the need for
paper-based processes that improves work efficiency and accuracy.
The effective execution of online enrollment can be seen in
various organizations across the globe. Here are some significant changes that
occurred in the corporate world due to the emergence of
digitalization in open enrollment.
Helps Educate the Workforce
To boost employee engagement and reduce their turnover
ratio, it is important to keep them informed about the coverage plans. Despite
the efforts and investment done on improving employer-employee communication,
human resource executives agree that it is exhausting to keep the workforce
informed. According to a research study, “About 49% of employers strongly agree
their employees need to have a better understanding of their benefits” and “Two
out of five employees agree that a well-communicated benefits program would
make them less likely to leave their jobs”
It’s the employer’s responsibility to inform the employees
about the coverage plan/change plan before the start of the open enrollment
period. In-person meetings between insurance professionals and employers should
be conducted throughout the year to keep the employees aware of the benefit
policies. Consequently, during the open enrollment period, employees can wisely
select the plan.
Today, most of the companies provide interactive and easy to
use online platforms, from where employees can access information 24/7,
regarding the company’s benefits plans. Several communication tools like plan
summaries, web links, videos, broadcast voice mails, online-outlets, etc., are
shared that helps employees select the best coverage plan.
Additionally, the use of automated HR software (HRMS) can
help create personalized plans for a group of employees as per their needs. The
employee can choose benefits by comparing their past benefits choices with the
changing one. This way, the organization can retain its skilled resources.
Thus, this leads to an increase in employee participation
and engagement and simplifies one of the major aspects of open enrollment.
Time-Saving and Cost-Effective
Doing stacks of paperwork is very exhausting, and
time-consuming that majorly affects the employee’s productivity, resulting in
inefficiency and high cost. Also, paper-based enrollment makes data collection,
tracking, and compliance more challenging. Thanks to the emergence of
technology that saves the valuable time of human resources and helps them focus
on the strategic task. According to a survey, the use of digital enrollment has
reduced the time required to fill the employee benefits application form by 50
percent. Thus, it simplified the work-load of the open enrollment program.
Error-Free Operation
Data entry errors are very common while filling applications
manually. Although double-check may ensure the accuracy of information to some
extent; being time-consuming, it is not a feasible approach. Any missing piece
of information may eventually put a pause on the enrollment process thus
creating a mess for all involved and leads to employee dissatisfaction.
Bring more
data accuracy by Integrating the online system streamlines the open
enrollment process by reducing unnecessary paperwork and provides a
self-service tool that allows workers to review and manage their benefits
plans. All the time-consuming and repetitive tasks like data entry or filling
form are automated that increases accuracy, job efficiency and employee
engagement in the open enrollment process.
Some other benefits of integrating HR technology in the open enrollment
process are as follows:
- Automation can speed-up the open enrollment process.
- Employees are informed about schedules and deadlines of
benefits enrollment through automated reminders. This alleviates the HR
workload to some extent.
- Introduces self-service modules that help employees manage
their own data and resolve their queries.
- Brings transparency in the process as employees can access
their data 24/7, evaluate their plans, see the premium amount and can compare
it with other plans and past choices.
- It creates an audit trail where changes in the coverage plan
can be seen. Hence, it updates all the records that can be useful from the
compliance perspective.
Also Read: What
You Must Look for In A Benefits Administration Software
Conclusion
Before the enrollment process opens for the year 2020, try
to incorporate a well-structured plan and integrate online HR tools in the
system to make the open enrollment process a success!
A3logics has expertise in various domains that enable us to provide integrated technology solutions. Get proactive support for Benefits Administration process through high-quality product development services.
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