11 strategies employers can engage for a successful annual enrollment

What do annual benefits enrollment and retaining talent in a tight labor market have in common? Quite a bit, it turns out.

For employers, having a successful annual enrollment is more important than ever. Why? Because in this post-COVID-19 era, employee needs have evolved significantly.¹ And given that, 61% of employers report challenges retaining employees and 73% having difficulty attracting job candidates — according to the Integrated Benefits Institute (IBI).¹  

A recent consumer sentiment study conducted by Voya revealed a number of findings that are particularly relevant to any company preparing for annual enrollment. Key among the results is this stat:

With these findings in mind, here are 11 strategies to consider for an annual enrollment season that not only runs smoothly, but also helps address the needs and desire of employees who are looking for reasons to stay where they are — especially in a labor market that puts them in a position of power:

1. Learn from history

Think back to what you did for last year’s annual enrollment: What worked? What didn’t? Apply those learnings to this year so you are continually streamlining the process and working towards achieving your goals. Survey your employees immediately after each annual enrollment while everything is fresh in everyone’s mind. Use that feedback to measure employee satisfaction and determine what changes to focus on for the next year.

2. Communicate clearly and consistently

The Voya study also showed that 72% of employed Americans say they will spend more time reviewing their benefit elections during annual enrollment this year because of inflation² — making it critical that your HR team:

• Communicates early – Let employees know annual enrollment is coming, what they should do to prepare, and their options. Make sure they have time to consult with a spouse or partner.
• Communicates often – Your employees are busy, so they may need reminders.
• Communicates clearly – Employees will want to know what they need to do and by when. Provide timelines and bulleted content to make sure the important details don’t get lost. Note: If you’re introducing a new plan or trying to increase adoption of an HSA-eligible plan, you may need to provide more education, especially at the beginning of the plan year. Be transparent if you are making changes to the plans. Explain changes in detail and give examples.

3. Be prepared for questions

Annual enrollment is a busy time of the year, and your employees will have questions. Are you prepared with frequently asked questions or a way for them to get answers? If you need additional support, you can look to a third-party vendor, such as a licensed administrator or insurance producer, to field questions and assist employees with their benefits decisions. A consistent set of answers will also help increase your employees’ trust in their plan selection.

4. Customize your messaging

Companies can have very diverse employee populations, and everyone does not learn the same way Make sure you create a variety of content and deliver it in different ways to better engage your employees. Younger employees or field staff may want to access information via email or on their smart phone, where a group meeting may work better for in-house employees. Think about who you’re communicating with, segment your communications, and give each set of employees information in a meaningful way. Third-party vendors can also help you develop corporate personas and create customized messaging.

5. Encourage active enrollment

Use an active enrollment strategy to encourage employees to consciously select the best plan for their needs. Passive enrollment – letting employees just “roll over” their current election — may seem simpler in the short term, but employees may end up with coverage that doesn’t truly meet their needs — and may even cost them more. This can also result in higher costs for the company. Engage employees with their benefits choices so that they select the appropriate coverage for their needs.

6. Offer tools to make things easier

A static plan comparison is helpful, but interactive, personalized decision support software can make it easier for employees to compare coverages and discuss options with their families. Tools are even more helpful if they are quick, simple and can provide employees with a more realistic health care spending baseline. And with 50% of employed Americans stating that access to digital tools and advice to help them make retirement plan and workplace benefit related decisions increases their likelihood of staying with their current employer,² the impetus to offer technology for decision-making support is even greater.

7. Ask for help before you really need it

Benefits providers can help with everything from creating benefits communications materials and providing decision support tools, to facilitating annual enrollment meetings and answering your employees’ benefit questions. It’s also best to pull in a third-party vendor as soon as you think you might need their help to make sure you have the support you need for success.

8. Support the entire benefits menu

The focus is often health insurance benefits, but employees appreciate guidance for all available benefits. With 81% of employed Americans agreeing that guidance on how to optimize their retirement savings and workplace benefits is important,² employers should consider making an effort to provide support for the full range of benefits available during annual enrollment, such as dental, vision, health and flexible spending accounts (HSA/FSA), life insurance — and other voluntary benefits like accident insurance, critical illness insurance and hospital indemnity insurance. (Critical Illness may be referred to as Specified Disease in some states.)

9. Increase the focus on mental health

The Voya study is particularly revealing regarding attitudes around mental health and the desire for more employer support and resources:

• 63% of employed Americans strongly or somewhat agree their mental health has a direct impact on their ability to perform their job effectively.²
• 55% agree their employer has a responsibility in ensuring they are mentally healthy and emotionally well.²
• 54% are interested in receiving more mental health benefits and resources.²
• 48% would select a workplace benefit that provides more mental health support/resources, even if it costs more.²

Numbers like these highlight the importance of providing and promoting mental health-related benefits, particularly during annual enrollment.

10. Keep up the momentum

With 80% of employed Americans reporting that receiving more information outside of open enrollment to help them better understand their employee benefit options as important,² you can continue to educate your employees year-round with timely information on how to best use their benefits. This level of engagement will not only help your employees get the most out of their plans, but also prepare them to be more informed for next year’s annual enrollment. If you’re not staffed to do this, third-party vendors can help with the communications plan and content.

11. Go virtual

Prepare early for an educational and engaging online annual enrollment experience so you’re not scrambling later. Ensure you have webinar technologies that allow a large number of people to be online at the same time. Pre-record messages from HR leadership and encourage 1:1 video meetings.

Employers have an opportunity this annual enrollment season to increase employee engagement in their benefits selection process — with the potential reward to the employer of improved employee satisfaction and, in the long run, greater retention of valued talent.

Of course, at the heart of a successful annual enrollment is a solid, well-considered array of benefits that meet employees where they are. Voya stands ready to help expand your benefits package and offer a suite of configurable solutions designed for your unique workplace:

 

Explore Voya's Workplace Solutions

 

 

Want to learn more about our workplace benefits and retirement savings solutions? Contact your Voya representative today.