The early numbers are in from Mercer and they don't look good. Mark Roberts at BenefitsPro has a great write up on the initial study.
The short version of Mark's article is this: Health care costs are expected to rise 5.4% next year. Brokers and Consultants who just finished up their Open Enrollment periods are already finding themselves having to prepare for another tough season. His closing comment provides this bit of ironic encouragement "Do your best to keep up."
Are they any rabbits left?
For many brokers and consultants, they are been able to pull a "rabbit out of a hat" for the past few years by utilizing plan changes and installing CDHP plans. As I heard from a botique NYC based broker last week, most advisers are running out of options.
Plan adjustments impact both employers and employees alike. Neither party are in a position to shoulder any more of the premium burden. Healthcare exchanges are still too immature to be a viable option for 2012-2013 but may be in play for 2014.
Need to Communicate
One of the other challenges brought on by creating more complex plan structures is the need for communication. Multiple Plan options along with the introduction of new plan structures (HRA/HSA/FSA/Limited FSA) creates an need for clear and concise education of the employee.
The Midwest Business Group on Health just released their white paper entitled "Employee Health Engagement:Identifying the Triggers and Barriers to Engaging Employees in Their Health Benefits and Wellness Programs". While you may not have the time to read through the entire report (highly recommended), the salient points were summed up by their team.
What Can You Do?
The best time to act on your communication is right now. Open enrollment has just finished (hopefully!) and the memories of the good and bad are fresh.
The short version of Mark's article is this: Health care costs are expected to rise 5.4% next year. Brokers and Consultants who just finished up their Open Enrollment periods are already finding themselves having to prepare for another tough season. His closing comment provides this bit of ironic encouragement "Do your best to keep up."
Are they any rabbits left?
For many brokers and consultants, they are been able to pull a "rabbit out of a hat" for the past few years by utilizing plan changes and installing CDHP plans. As I heard from a botique NYC based broker last week, most advisers are running out of options.
Plan adjustments impact both employers and employees alike. Neither party are in a position to shoulder any more of the premium burden. Healthcare exchanges are still too immature to be a viable option for 2012-2013 but may be in play for 2014.
Need to Communicate
One of the other challenges brought on by creating more complex plan structures is the need for communication. Multiple Plan options along with the introduction of new plan structures (HRA/HSA/FSA/Limited FSA) creates an need for clear and concise education of the employee.
The Midwest Business Group on Health just released their white paper entitled "Employee Health Engagement:Identifying the Triggers and Barriers to Engaging Employees in Their Health Benefits and Wellness Programs". While you may not have the time to read through the entire report (highly recommended), the salient points were summed up by their team.
It is clear that the need to communicate and engage your workforce needs education and engagement in order to be able to understand and utilize the benefit plans being offered.
The research provides employers with key recommendations to supporting employee engagement and health improvement efforts including:
- Take into account a company's culture when implementing workplace health and benefit programs. Have strategies in place that build trust – a big influence on employee participation.
- Include dependents and other family members in company communication efforts so they can support health improvement and behavior change efforts at home and in their daily lives.
- Offer "Benefits-at-a-Glance" resources that include information such as cost comparisons among plans, the actual cost of health services, and benefit/coverage changes that could have an impact on out-of-pocket costs.
- Use the results of clinical screening programs and campaigns such as Know Your Numbers as the trigger to get employees to consider making necessary lifestyle changes.
- Structure incentives as part of the benefit design to maximize the employer's investment in these resources and to promote value to the employee.
- Provide information and resources on resiliency/stress management to help employees handle the extremes of a hectic work and home life.
What Can You Do?
The best time to act on your communication is right now. Open enrollment has just finished (hopefully!) and the memories of the good and bad are fresh.
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