How to Evaluate Your Current Benefits Program (Before Your Next Renewal)

How to Evaluate Your Current Benefits Program (Before Your Next Renewal)

An employee benefits program should be designed to meet your compliance responsibilities while also aligning with the needs of your employees and their families.

This task becomes more challenging each year as the benefits landscape continues to shift due to factors such as:

• Rising healthcare and insurance costs
• Changing federal and state mandates
• Increasing severity of chronic illnesses

Employees’ expectations are also evolving. Many desire programs that offer greater choices and combine physical, mental, and financial benefits for well-rounded care.

A Guide to Evaluating Your Current Benefits Program

According to Blue Cross Blue Shield of Massachusetts, the key to designing a solid benefits package today is centering it around the employee. By protecting your people, you contribute to the long-term growth and stability of your business.

Here are five questions to help you evaluate your current employee benefits and prepare for your upcoming renewal.

1) Have you recently reviewed your contribution strategies?

Because federal and state mandates can change each year, it’s important to review the contributions you make toward your employees’ benefits, such as:

• Health insurance premiums: The cost of health insurance is rising across the board, so you may need to adjust your contributions to help offset these increases. This is especially important if you offer Individual Coverage Health Reimbursement Arrangements (ICHRAs) in lieu of traditional group insurance. Because federal subsidies have been significantly reduced for Marketplace plans, many families are paying higher premiums. The value of your contributions can decline if adjustments aren’t made over time.
• Paid Family and Medical Leave (PFML): If you help supplement the benefits provided by Massachusetts’ PFML, you’ll want to ensure your contributions reflect changes to the program’s weekly maximum.
• Health and retirement accounts: You may want to consider your employee contribution matches for Health Savings Accounts (HSAs), Flexible Spending Accounts (FSAs), and 401(k) or IRA plans to account for increases in the annual caps set by the IRS.

2) Is your program designed to support employees with varying needs?

“One-size-fits-all” solutions can prevent your employees from receiving the personalized care and support they need. For example:

• Families with young children often have different needs than a single-person household.
• Older workers may require more healthcare services than their younger counterparts.
• Remote employees may seek different types of support than in-office staff.

Designing a program with different health plan tiers and optional benefits places decision-making in the hands of your employees. These “employee-choice models” also allow them to consider their own finances and configure a plan that fits within their budget.

3) Have you prioritized mental health and financial wellness services?

In today’s work culture, there is a growing trend toward taking a holistic approach to employees’ well-being. Outside of the standard health, vision, and dental offerings, many employees want employers who prioritize:

• Mental health: In addition to offering health plans that provide access to robust mental health services, many employers are also establishing “mental health” days as part of their paid-time-off structure.
• Financial wellness: From financial counseling and budgeting tools to student loan repayment, these types of resources can help reduce financial stress, increase productivity, and ultimately retain talent. There is also a growing emphasis on benefits literacy to help employees make informed decisions. For example, educating your team on how an HSA works and why it can be beneficial—even with a higher health insurance deductible—can help them feel more confident and supported.
• Proactive care: There are many programs that provide rewards for preventive care and other wellness initiatives. This encourages employees to keep up on their annual checkups and stay active throughout the workday.

4) Are pharmacy benefits built into your medical plan?

According to UnitedHealthcare, choosing a health plan provider that manages both medical and pharmacy benefits can help reduce complexity and improve value by:

• Cutting down on costs for both employees and employers
• Promoting coordinated care across an employee’s full health profile
• Leading to faster doctor referrals and access to care
• Streamlining benefits administration

5) Does your program support employees’ busy schedules?

Many employees are balancing full-time jobs with childcare, pet care, household chores, and other responsibilities. Selecting a group health insurance plan that offers reliable, quality virtual care services can help:

• Save time: Instead of driving to and from the doctor’s office, employees can receive care wherever they are. This also helps reduce the amount of time employees spend away from their desk or jobsite.
• Lower out-of-pocket costs: A recent study found that telehealth appointments are five times less expensive than in-person visits and require fewer follow-ups.

Additionally, finding one benefits administration platform to support all your needs not only offers simplicity for your employees but also improves efficiency for your business.

Morse, of Course, Is Here to Help Protect Your Employees’ Well-Being

Your people are your most important asset. By actively reviewing your employee benefits program, you can ensure it changes alongside the needs of your team and business.

Morse, of course, is here to help support business owners across Southeastern Massachusetts and along the South Coast. Whether we are designing a new program or enhancing your existing one, we’ll help make sure it supports the well-being of your employees and their families—all while serving as a part of your broader risk management strategy. Call us today at 508-238-0056 or visit us at one of our office locations.