It’s almost that time of year again. With the 2022 open enrollment season rapidly approaching, there are several worthwhile questions that you should ponder in the coming weeks. How happy are you with your current broker? How have they best served you over the past year? Were there times when their offerings or communication felt less than satisfactory?

Whether or not you’ll be shopping for a new broker to expand upon or better your company’s benefits offerings, what’s most important when researching and auditing your current plan is weighing your employees’ needs. Do your research when building your candidate pool, and consider multiple brokers to represent your company before making a final decision. Remember to start the RFP process as far in advance as possible, too. It takes time and no small amount of effort to decide on a broker who will give you the day-to-day service and value that your employees need and deserve. Not sure what other questions to consider? Here are four to get you started:

How can I create a plan that fits my current employees' needs while also attracting new talent?

Most employees thrive in a flexible work environment, and the same thing goes for creating a benefits package. Your employees need to see that their needs are important, which is why conducting a company wide survey and soliciting feedback will increase satisfaction in whichever plan that you choose. When choosing a plan, it’s also important not to take a one-size-fits-all approach in today’s diverse workforce environment. A good broker will have the knowledge on how to use your new plan to your advantage by keeping current employees around for longer while also attracting new talent.

How will you help me set up a communication plan to educate my employees?

A broker’s job goes far beyond simply discussing and running through your benefits plan. They should be communication experts, who possess the skills and expertise on how to address, cover and inform your employees on the best ways to approach open enrollment. In fact, nearly one-third of employees either know nothing about or don’t understand their healthcare coverage. Addressing the topic of education and transparency immediately in your broker selection is crucial to overall employee satisfaction and happiness.

What do your resources look like to help me stay updated on HR regulations?

When shopping for a new insurance broker, it’s important that a broker possess the expertise and knowledge regarding the rules and regulations that come with the ever-changing policies and industry. Your broker can give you the tools and resources to stay on top of this information in the time-sensitive manner you require.

Not only should brokers be experts in the insurance they’re providing you, but they should also be experts in your company as well. Your broker should have a genuine curiosity and want to dive deeper into your company’s mission, industry and demographics. From there, your broker should deliver customized information on why those solutions make the most sense for your business. And, above all, find a broker that offers you complete transparency to solidify your trust.

Do you take a digital-first approach when working with clients?

Technology is constantly changing and your broker needs to be changing with it to provide an easy and interactive solution for your employees to easily select their benefits plan. Although there has been an accelerated shift in transitioning to digital-first solutions, many brokers still fall short in this area. In the end, you’ll thank yourself for selecting a broker who provides you with a seamless digital experience and an efficient time-saving journey. Looking for more exclusive content? Check out what’s trending on the Mployer Advisor blog, and see what to expect from your insurance broker here.

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Insurance brokers are valuable assets. Whether you’re a small business owner or a benefits manager at a large company, brokers can help make your insurance shopping experience simpler and, in many cases, more affordable. By acting as an intermediary between consumers and insurance carriers, they provide industry knowledge and expertise to ensure their clients are getting the right coverage at the right cost.

Insurance brokers differ from insurance agents in that they represent the client, not the insurance company. Because they aren’t incentivized by a specific insurance carrier or carriers, they’re able to keep the interests of their client and their client’s business at the forefront of the insurance shopping experience. This focus often results in a more positive outcome, with the client’s coverage needs being achieved in full and on budget. Let’s examine the three most important responsibilities insurance brokers should fulfill.

Support the Client's Needs

At the very least, every company should have property, interruption, and liability insurance; because all businesses are different. However, the specific circumstances of each one -- such as what services or products they provide, whether or not they possess a fleet, and whether or not they handle sensitive information -- must be taken into account. In these cases, additional coverage, such as cyber insurance, commercial auto insurance, and data breach insurance needs to be purchased. This is true whether you’re a small business owner with six employees trying to expand, a large corporation with significant assets, or a medium-sized company trying to maximize revenue.

At the same time, brokers should be actively listening to the concerns of their clients; it’s important that clients feel their needs are being addressed and appreciated. For example, if a business owner in Kansas is particularly worried about tornadoes damaging their office building, a great broker will spend extra time finding the right coverage to soothe those concerns.

Act as a Liaison

Compared to the average individual looking for health or life insurance, businesses require more attention, care, and knowledge when it comes to finding coverage. The greater financial risks translate to more intensive and encompassing insurance packages that can be increasingly difficult to understand for a typical business owner or benefits manager, especially if they’re trying to go it on their own. The industry experience possessed by insurance brokers is especially beneficial when it comes to communicating directly with potential insurers; they should explain complex lingo, help with filling out any necessary forms, and negotiate final deals. Ultimately, this provides comfort and security for those unsure of what coverage they need and why.

Research Insurance Trends, Policies and Products

Insurance brokers are uniquely equipped to sift through the mountain of different insurance options to ensure their clients and their client’s business are protected. Their experience and in-depth knowledge of current policies and trends allow them to hand-pick the most ideal plans depending on client interests and concerns. Great brokers will always be paying attention to industry changes and policies in order to provide the most up-to-date information. This means that clients from all experience levels and backgrounds can rest assured that they’ve made the right choice for their business.

Signs To Look Out For

Unfortunately, every industry has its bad eggs. Insurance brokers aren’t immune to selfish, unprofessional individuals that are more interested in turning a profit than looking out for the needs of their clients. If your broker is displaying any of the following four behaviors, you may want to start searching for a new one.

• They cannot be easily reached. Accessibility and communication are vital for any professional relationship. If a broker does not answer your calls, emails, or messages in a timely manner, forcing you to leave several messages before they finally respond, they aren’t providing you with the best service. This goes double if they aren’t effectively explaining the essentials of your plan, why it matters, and what it costs.
• They do not provide you with copies of your insurance policies. Insurance policies are designed to protect businesses and assets from financial loss. Without examining your policy, you won’t be able to guarantee that it includes all the coverage you need. Your broker should be walking you through the details, not expecting you to trust them explicitly.
• They are not sending you actual bills for your insurance premiums. Billing statements provide concrete proof of what your policy costs and why. If you’re not receiving either a direct bill (a bill that comes directly from the insurance company) or a brokerage bill (a bill issued by your insurance brokerage) and are instead simply told to write out a check, your broker is most likely being dishonest about the costs.

• All of your bills are round numbers. Insurance premiums are not neat, with pretty numbers like $10,000 or $5,000. Instead, they’re ugly and can appear almost random (think $10,304.78 or $5,235.13). If your insurance bills are perfect and even, there’s a solid chance your broker is lying about the true cost in order to skim a little off the top -- especially if you’re not receiving actual billing statements.

Brokers are supposed to make the insurance buying experience easier and more transparent. If yours is concealing information, ignoring your questions, or forcing you to go on the faith they aren’t doing their job; even worse, they may be stealing from you.

How To Deal With a Bad Insurance Broker

Luckily, business owners, benefits managers, and other professionals who feel they’ve been wronged, or believe they are currently being wronged, by their brokers aren’t helpless. Depending on the damage that’s been done -- which can range from mishandled claims to overt theft --, you have two main options beyond simply firing them: file a claim against the broker or file a lawsuit. The legalities surrounding suing your insurance broker vary by state; it’s wise to consult with a lawyer on whether or not a lawsuit is even possible based on your circumstances, let alone practical.

Change your broker here.

When filing a claim, you’ll need to contact your state’s department of insurance and may need to fill out a few forms. Focus on the professional details; list all events and contacts in chronological order, including any interactions you’ve had with the broker, police, insurance company, and others that are relevant to the case. Attach any necessary documents (for example, health records if the mismanaged claim was related to health coverage) and photocopy all your documents for safekeeping. Following up on the status of the claim after two weeks will ensure it gets handled.

The best insurance brokers are knowledgeable, trustworthy, experienced, accessible, and transparent. Remember, insurance brokers work for you; if they aren’t satisfying the above responsibilities or you suspect something underhanded may be going on, you’re well within your right to end the relationship and take action.Looking for more exclusive content? Check out what’s trending on the Mployer Advisor blog, and check out this article if you are considering changing your broker.

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There are more than 32.5 million businesses in the United States, operating in industries as vast as healthcare and manufacturing and as far-reaching as technology. Though the size and specifics of these businesses can vary immensely, all U.S. companies are legally required to obtain certain forms of insurance, namely employer-provided health insurance, worker’s compensation insurance, and unemployment insurance. These mandated types of insurance offer protection for employees against a myriad of risks and circumstances.

As a result of their mandated status, businesses can face serious consequences if they don’t provide sufficient coverage for their employees. Let’s take a look at each option to learn about what could potentially happen if a business doesn’t have insurance.

Health Insurance

The Affordable Care Act (ACA), more commonly known as Obamacare, plays a vital role in today’s world, especially when one considers the impact of COVID-19. It was designed to achieve three main goals: make affordable health insurance available to more people, expand the Medicaid program’s coverage, and support innovative medical care delivery methods in an attempt to lower overall health care costs. Employer-sponsored health insurance is an essential part of the first goal; it applies to companies with 50 or more full-time employees and/or full-time equivalents (FTEs).

The Law

Employer-provided health insurance must meet two fundamental requirements: it must provide “affordable” coverage and “minimum value”. Affordable coverage is calculated by looking at an employee’s contributions compared to their household income; if the contributions exceed a certain percentage of their income (9.78% in 2020 and 9.83% in 2021), the coverage is not considered affordable. A plan that provides minimum value must pay at least 60% of the cost of covered services, such as deductibles, copays, and coinsurance. This affordable, minimum value coverage must also apply to any dependents the employee has up to the age of 26.

The Consequences

If an employer does not offer any health insurance despite having 50 or more employees or does not offer at least one medical plan option that provides “affordable,” “minimum value” coverage, the business will incur the following penalties.

• No coverage offered:
• $2,570 per full-time employee minus the first 30.
• If coverage is offered but is not affordable:
• The lesser of: (1) $3,860 per full-time employee receiving a federal subsidy for coverage purchased on the Marketplace
• or (2) $2,570 per full-time employee minus the first 30.
• Covered offered, but does not provide minimum value:
• The lesser of: (1) $3,860 per full-time employee receiving a federal subsidy for coverage purchased on the Marketplace
• or (2) $2,570 per full-time employee minus the first 30.

Depending on the size of the business, these penalties can add up to a considerable cost very quickly.

Workers’ Compensation

With the exception of Texas, workers' compensation insurance is legally required for businesses throughout the United States, although the threshold varies by state. For example, California requires workers’ comp insurance as soon as the first employee is hired, while Florida doesn’t require it until four or more employees have been brought on board. It was designed to provide wage replacement benefits, medical treatments, vocational rehabilitation, and various other benefits to employees who have been injured at work or have acquired an occupational disease.

Because the law isn’t federally mandated, each state is allowed to set its own base requirements. This varies primarily depending on industry and employee numbers, meaning that business owners should take the time to check their local laws if they want to protect themselves from the penalties.

The Consequences

Failing to provide adequate workers’ compensation insurance for your employees can result in significant ramifications, including jail time. These also vary by state, so let’s take a look at a few examples.

• New Jersey
• Considered a criminal offense punishable by a fine of $10,000 or imprisonment for up to 18 months.
• California
• Considered a criminal offense punishable by fines that can reach up to $100,000.
• Illinois
• Carries misdemeanor charge, with the willful failure to obtain insurance categorized as a felony.
• Pennsylvania
• Intentional non-compliance is considered a third-degree felony, punishable by a fine of $15,000 and up to seven years in jail.

While fines alone can do a lot of damage to a business, imprisonment can sink it entirely.

Unemployment

Unemployment insurance programs exist in all 50 states on both a federal and state level, serving to provide financial assistance to unemployed individuals who meet the following criteria: they are unemployed through no fault of their own, e.g., work simply isn’t available; they worked during a specified period, usually up to 18 months; they earned a minimum amount of wages as determined by each state, and they are actively seeking work each week they’re collecting benefits.

The Law

When an individual is approved for unemployment compensation, the money they receive comes from payroll taxes their company has paid to the government.

The Federal Unemployment Tax Act (FUTA) is an employer-only tax that costs 6% on the first $7,000 each employee earns per calendar year; this means the maximum amount a business will have to pay per employee is $420 per year. The State Unemployment Tax Act (SUTA) varies due to the fact that states are allowed to determine their own wage base and tax rates. Compliance with these acts results in a 5.4% tax credit, bringing down the FUTA tax rate to a much more affordable 0.6%.

The Consequences

Failing to pay unemployment taxes can result in penalties that are usually financial, including punitive fees or interest assessed on the money owed that was not paid. Fortunately, these penalties never extend to the company’s employees that are seeking unemployment support.

There are certain types of insurance that companies are simply required to pay into. While the details may vary from state to state, the consequences can be utterly ruinous. If a company is looking to save money, skimping on health insurance, workers’ compensation insurance, and unemployment insurance is the wrong way to do it; with penalties that can lead to bankruptcy and even imprisonment, it just isn’t worth the risk.

Want to read further? Read up on everything you need to know about compensation and employee benefits packages.

Looking to browse through all of our exclusive content? Check out our blog.

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If you are shopping around for health insurance, chances are you have heard the term ‘insurance broker’ thrown around a few times. While both insurance agents and insurance brokers act as intermediaries between insurance sellers and buyers, they have different job functions.

Where an insurance agent represents one or more insurance companies, an insurance broker works directly for the client. On the other hand, brokers work for you and only you and will use their experience to provide the best insurance package for your specific needs.

When shopping around for a business insurance broker, there are a few things you should ask to ensure they are the best fit for what you are looking for. Here’s an insider’s guide of what an employer should ask an insurance broker before hiring them.

Can you tell me about your business?

You’ll want to know more about your broker’s business to get a sense of their experience. A business insurance brokerage that has been around for a while is a great sign that they are well-versed with a lot of different business types and the issues you may face. It’s also a good idea to ask for references and to ask about what some of their success stories are. Doing this will help you see their track record, and if their previous experience aligns well with your goals.

There’s no such thing as a good answer or a bad answer to this question, but make sure to follow your gut. Your insurance broker’s job is to represent you, but if something seems off, make sure to act on it.

Who will I be working with?

Insurance brokerages can be quite large, and you want to make sure that you are more than just a number to them. It is important to ask about who you will be working with, as this gives you an idea of how this firm operates. They should provide you with a dedicated account manager that serves as your only point of contact, but if they don’t, proceed with caution. An account manager makes sure that all your needs are met, and that you are treated as an individual. You will need to evaluate if a large firm or small firm is best. Who are you working with and how long have they been in the business.

Can you help me review my current coverage?

You may already have some type of insurance coverage, and an experienced broker can take a look at what is working well for you and what isn’t. Based on their findings, they can create a customized plan for your needs, and fill in any coverage gaps you may be experiencing. Make sure to sit down with the broker to analyze your specific plan before you start discussing other options, as you want to make sure your concerns are heard before you enroll in a new plan.

What are the different types of plans you offer?

Not all plans are created equally, so you will want to hear out all the different types of options available to you before you decide. There is no such thing as a one-size-fits-all type of insurance plan, so take your time listening to the plans they offer, and ask as many questions as possible.

Additionally, you’ll want to find out about the different types of health plans. Indemnity plans are a type of health plan that require you to pay a certain percentage of healthcare costs when the healthcare company pays the rest. There are also managed care systems, health maintenance organizations (HMOs), and preferred provider organizations (PPOs), that can add versatility to your health insurance plans. At the very least, you should expect your broker to provide a comprehensive list of health insurance terms, rates, and benefits for multiple options for your review.

Please explain the fees you charge.

Some insurance brokerages have salaried workers, whereas others rely only on commission-based sales. The health insurance company will pay the broker out of their end of the sale, so it doesn’t cost you anything to use a broker’s service. But sometimes, they add on an extra brokerage fee on top of your plan.

Asking upfront about any extra charges ensures you’re not surprised down the line.

How do you handle the enrollment process?

Each brokerage handles the open enrollment process in a different way. Some may take care of enrolling for you when others require the clients to do it themselves. It is important to ask your insurance broker how they will streamline the entire process to make everything easy for you. They may even offer some tools that can make the process a bit easier for you, but again, this may take some time to learn. You want to be as prepared as possible going into open enrollment, and asking all these questions ahead of time will set you up for success.

Does your brokerage have a specific renewal process I should be aware of?

You will need to renew your plan every single year, and some insurance brokerages have certain automatic renewal processes set up as a way to streamline the entire process. Generally speaking, a systematic renewal process will go into place about 45 to 60 days leading up to the renewal date. But it is important to be aware of your insurance brokerage’s renewal process because it is best practice to ask your broker to negotiate a better rate for you every year, and you don’t want to get enrolled in the same plan if you wanted to make a change.

What are your capabilities in the following areas?

It is best to know your business insurance broker’s capabilities in the following three areas:

• Claim advocacy. Does the brokerage have specific claim specialists at your disposal for difficult situations?
• Claim reviews. How do they close and review claims? Do they have a standardized process for doing so?
• Loss control. Can your brokerage complete a lost trend analysis, if need be?
• Benchmarking is very critical to ensuring competitive benefit structure.

The answers to these questions will shed light on how the brokerage works, and if its operations align with what you are seeking.

Finding the right business insurance broker for your business doesn’t have to be a daunting task. With these questions to help guide the conversation, you’ll be confident in knowing that you’ll be making the right decision for your business needs and goals. Looking for more exclusive content? Check out what’s trending on the Mployer Advisor blog.

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Benefits packages are essential to the modern worker. No matter what industry your company is in, offering a robust retirement plan, an excellent paid time off policy, and extensive health coverage can provide comfort and security for your employees -- especially during a pandemic; however, these benefits incur additional costs that some businesses might not be able to manage or justify. Considering how vital and valuable benefits are to employees, is it possible for businesses to change or remove them without notice? Let’s take a closer look.

Understanding the Law

Prior to the establishment of the Affordable Care Act (ACA), businesses were not required to offer health insurance coverage to their workers. Now, providing health insurance coverage is mandated by law if you have 50 or more employees and has become standard practice if businesses want to attract and keep the best employees.

The Employee Retirement Income Security Act of 1974 (also known as ERISA) is a federal law that was enacted to protect individuals participating in most voluntarily established retirement and health plans in private industry. It performs four fundamental functions:

• Requires plans to provide participants with information regarding plan features and funding
• Provides fiduciary responsibilities to the individuals who control and manage plan assets
• Requires plans to establish a grievance and appeals process
• Gives participants the right to sue for benefits and breaches of fiduciary duty, which is an obligation to act in the best interest of another party.

Changes to health insurance plans and benefits coverage are legally known as material reductions and refer to any plan modifications that would be considered by the average participant to be an important or significant change. According to the Employee Benefits Security Administration (EBSA) this includes any plan modification or change that:

...eliminates benefits payable under the plan; reduces benefits payable under the plan, including a reduction that occurs as a result of a change in formulas, methodologies, or schedules that serve as the basis for making benefit determinations; increases premiums, deductibles, coinsurance, copayments, or other amounts to be paid by a participant or beneficiary; reduces the service area covered by a health maintenance organization; establishes new conditions or requirements (e.g., preauthorization requirements) to obtaining services or benefits under the plan.

Under ERISA, employers are required to give 60 days’ notice prior to any material modification scheduled to take place. This includes informing workers of their right to purchase a temporary extension of group health coverage (like COBRA) if a qualifying event occurs. If material modifications, rather than reductions, are going into effect, employers have until no later than 210 days after the end of the plan year in which the change is adopted to inform employees.

Unfortunately, the world of insurance isn’t always easy to understand; whether you’re a small business owner who is simply trying to find a solution so you can get back to the actual work or a benefits manager who wants to make sure they choose the right coverage for their company’s needs, you might need support from an insurance broker to explain the nuances of business insurance and employee benefits, especially considering the potential legal and financial consequences surrounding any mistakes.

Exigent Circumstances

Certain pressing situations can force companies to alter or, more commonly, reduce their benefits plans and health insurance coverage out of financial necessity. Because most benefits packages are a combination of mandated and fringe benefits, the latter is the first to be reduced or eliminated if a company has a budget reduction.

Fringe benefits are usually offered for recruiting and retention of workers. Some may include generous paid time off policies, tuition reimbursement, and even a company car.

When the business climate is slow or worse, in a recession the following can be a result:

Layoffs

Understandably, the loss of employment translates to a loss in coverage if coverage is supplied by the employer. The Worker Adjustment and Retraining Notification Act (WARN) requires businesses with 100 or more employees (excluding those who have worked less than six of the last 12 months and those who, on average, work less than 20 hours a week) to provide 60 days’ advance written notice of the upcoming layoffs. Several states have applied similar legislation to small businesses, allowing employees from all backgrounds time to find alternative coverage solutions.

Furloughs

Furloughs have become common since the arrival of COVID-19. Because they are performed to save a business money, or sustain its survival, this option is often turned to after the elimination of fringe benefits. In most cases, businesses attempt to continue health coverage throughout the furlough.

Pay Cuts

If a business is facing financial hardship, reducing employee pay can be a more practical alternative to layoffs. While it can be demoralizing, employees usually won’t lose their health insurance coverage -- although they may be forced to pay more toward their premiums each month.

Such severe circumstances can cause significant changes in an employee’s life. While losing your job or the salary you’ve grown accustomed to can be difficult, most people won’t need to worry about losing their health insurance coverage -- at least not immediately. As a business owner, it is your responsibility to let your workers know of any major changes that will affect their wages or employment status.

Employer Limitations

The legalities surrounding company-sponsored insurance are clear cut; if benefits are being reduced, notification is required within 60 days of the adoption of such reductions. While you can be on the hook if they fail to inform your employees of these changes, things get considerably messier if the changes are based on discrimination. No employer is able to decide who gets health benefits and who doesn’t because of age, gender, race, or current health condition. The only distinction that can be made is between part-time and full-time employees; anything beyond that in most scenarios is forbidden by federal laws.

The Takeaways

Can employers make changes to their benefits plans? Yes. Can they do so without informing their employees? Absolutely not. Whether you’re a benefits manager at a massive corporation or a small business owner with six employees, you are allowed to rescind or limit benefits for a number of reasons, including something as simple as the maintenance of insurance costs.

However, you are required to give notice to your employees within a specific time frame; this flow of information allows current workers to find new coverage or supplement any expected loss in time to prevent gaps in coverage while also serving to maintain trust and goodwill between the two parties.Looking for more exclusive content? Check out what’s trending on the Mployer Advisor blog, and be sure to read more about the importance of employee benefits plans here.

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Offering a comprehensive employee benefits package makes all the difference between attracting top-quality candidates and losing them to your competitors. An employee benefits package is one of the first things potential candidates will ask about during the interview process, and for some, a benefits package is more important than their salary.

For many workers, employer-provided benefits offer a sense of stability in a hectic world. Knowing that medical expenses are taken care of, a life insurance plan is set up, and a retirement savings account is growing can bring peace of mind. But, sometimes, employee benefits packages can be a bit complex and confusing. It can be hard to accurately explain all of the ins and outs of your benefits policy, so here are some tips that will help your communication be as clear and concise as possible.

Make the benefits information easily accessible.

Accessibility is a big hurdle to climb when it comes to your employee benefits packages. The best thing any business owner can do is to make all information easily available on a medium that your employees feel comfortable using. Since benefits can vary widely from employer to employer, it can take some time for employees to feel comfortable understanding how benefits work, so you will want to keep everything in one place for easy access.

With the wide variety of HR software available, this is much easier than you think! There are many user-friendly platforms available that keep all the information an employee would want to know in one place. For example, they can see their bank of PTO hours, access their health insurance card, and learn the specifics of disability coverage. When employees have instant access to all their important benefits information at the touch of a button, they will have a sense of control that they are at the center of their benefits program.

Use new-hire orientation to your advantage.

One of the best methods of explaining comprehensive employee benefits packages is by giving employees all the information they need as soon as they start working at your business. Any business owner needs to make sure each and every new hire is properly informed, so use new-hire orientation to your advantage and carve out time to educate new team members fully.

Be sure to provide every hire with a detailed, printed overview of every benefit offered, step-by-step instructions on how to access benefits information, and a frequently asked questions document. It is also a good idea to have one of your existing employees be your business’s benefits resource. This person can either be an HR professional or an employee who has been with the organization for a while and is available to answer any question, big or small, about anything related to benefits. When your employees are given a resource like this, they are more likely to feel comfortable and knowledgeable about their plan.

Carve out time to specifically go over medical benefits.

Medical benefits are usually the largest piece of the benefits puzzle, so it is always a good idea to carve out some time to go over medical benefits in extreme detail. Generally speaking, this is twice a year; once for all new-hires when they are brought on the team, and once before open enrollment starts in the fall, as this is the only time in the year any employee can change their healthcare plan. You’ll still need to communicate with your team regularly if there are any changes to your plan, but a business-wide meeting or conference is always a great idea.

Keep in mind, the spouse may be the person that is the benefits person in the employee’s home. Find a way to communicate to the spouses as well.

Health benefits can be notoriously hard for even employers to understand, so don’t hesitate in bringing in a health benefits professional to come and lead these meetings and answer questions for you. Remember, you most likely are enrolled in the plan as well and may have some questions you need to ask for yourself! That’s what professionals are for.

Explain the “why” of your benefits offerings.

Sure, you’ve thoroughly explained the “what” of your benefits package. But that may not answer all of your employee’s questions, so you’ll need to emphasize why you have provided what you have. It is common for most employees to feel both uneducated and confused about why specific things are offered in your plan, so take the time to adequately explain your reasoning.

For example, if your health care offerings are changing due to updates within the Affordable Care Act, explain why. Or, if you provide specific personal days that are meant to be for mental health days instead of vacation days, say that! Not only will being overly transparent about your “why” aid in your employee’s understanding, but it will also help to show a more personal side of you and your business.

Share openly about the costs of benefits.

Your employees need to know that they feel trusted and valued as workers on your team. One of the best ways of showing this is to be completely open and honest about how much you are spending on their benefits packages. Most employees don’t realize how much their employer pays for their personal benefits plan, and seeing the number printed on paper will go far to add in their appreciation for both you as a boss and the benefits offered. They’ll see how much your company is investing to make them happier and healthier in their daily lives, which will work to boost morale and job satisfaction.

Get creative and hold a benefits fair.

Who said that benefit plans have to be dreadful and boring? You can easily spice up your communications about benefits by hosting a benefits fair. This can be something simple where you decorate a conference room with detailed information about each plan, where the employees can wander in at their leisure. Add some health-specific raffles, such as gift cards to a healthy restaurant or workout equipment, to make things a bit more fun. Doing something creative like this can go far in helping the benefits feel less daunting to new employees, as well!

In addition, you may be able to schedule all the carrier representatives on site to answer questions.

With these ideas in mind, your employees will become both knowledgeable and confident in your employee benefits packages. An open line of communication with your employees is always a great idea, so use these tips and tricks to get started. Looking for more exclusive content? Check out what’s trending on the Mployer Advisor blog, and read "How to Measure the Success of Your Employee Benefits Package" for more information on this topic.

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