Navigating Open Enrollment: Bridging the Gap Between In-Person and Virtual
In our post-pandemic era, many businesses now operate with a mix of in-office and remote work. As a result, employers are recognizing the importance of combining traditional in-person open enrollment with the convenience of virtual options.
Striking a balance to cater to both remote and in-office staff can be challenging. In-person enrollments enable immediate Q&A sessions, which benefit those with specific benefits considerations. Conversely, virtual methods, though relying heavily on digital content, offer employers cost savings and logistical ease.
Anticipated Rise in 2024 Healthcare Expenses
Employers across the U.S. are gearing up for an anticipated 5.4% increase in healthcare costs in 2024, a reflection of high inflation and labor shortages within the healthcare sector. This projection, derived from Mercer’s National Survey of Employer-Sponsored Health Plans 2023, signifies the escalating pressure on health benefit costs due to prevalent economic conditions and industry dynamics.
Employee Benefits, Simplified: Question of the Month
QUESTION:
What exactly is the “death spiral” in the context of health plans?
ANSWER:
The “death spiral” in health plans refers to a situation where insurance premiums keep rising rapidly. It starts when more high-cost individuals join a plan, causing insurance companies to raise premiums. As these premiums rise, healthy people opt out, leaving a larger portion of high-cost individuals. This leads to even higher premiums, causing more healthy individuals to leave, and the cycle continues.
