LHD’s deep expertise in benefits administration technologies has taught us that best technological solution in this area is both sophisticated and comprehensive. Sophisticated technology in this context, however, does not mean complicated or difficult to use. In fact, quite the opposite. The most sophisticated technology is one that simplifies everything to lessen the benefits administration burden on the human resources department of. When the technology used is also comprehensive, it means reducing the administrative effort even more by bringing automation and efficiency to every aspect of benefits administration.
Components of Comprehensive Benefits Administration Technologies
Based on our experience, LHD has identified the various components that make for comprehensive and sophisticated benefits administration technologies, including the four outlined below:
The Compliance Burden
Regulatory compliance is a must in benefits administration, especially since mistakes can be quite costly. Does your HR team really have the bandwidth to keep up with the ever-changing regulatory landscape that includes ERISA, HIPAA, ACA, COBRA, and other employee benefit rules and standards? The answer is probably a resounding “No!” And if your HR staff really did keep up with all that, what other strategic priorities would suffer? The constant vigilance needed for compliance is not something most HR departments can handle effectively. Partnering with LHD, our comprehensive benefits technologies and complementary services can shoulder that burden for your company, allowing your HR team to focus on higher-priority issues.
The Communication Burden
Communicating with employees about the company benefits isn’t as straightforward as you might think. There are ways to present information about benefits that can either enhance or detract from the goal, which is getting employees to engage with benefits plans and make good decisions about benefits. Sophisticated technology applied to communications allows for the creation and saving of personalized message templates, special messaging for new hires, life changes, enrollment announcements, plan changes and updates, and so on. Personalization is key, as are the use of marketing best practices. Many HR teams lack the marketing knowledge to make employee communications as effective as they need to be.
The Enrollment Burden
When it’s time for employees to “shop” the benefits offered by your company, how do they do it? A sophisticated technology solution would make it easy and allow employees to do it even from their phones by featuring mobile-friendly access. If you’ve ever heard marketers talk about “the buyer’s journey,” the same principles apply if the goal is to optimize the benefits of the shopping experience. The technology and the approach should drive employee engagement, increase plan participation, and help them make more confident decisions about benefits. From the shopping experience there should be a seamless transition into the enrollment process.
The Billing Burden
Ask any HR team what they most wish they could take off their overfull plate and high on that list would be the incredible time involved to generate, audit, and reconcile benefits bills from month to month. It’s mind-numbingly tedious. If it’s not done carefully with attention to detail, however, it’s easy to miss carrier billing discrepancies and errors, which in turn means you’re missing opportunities to avoid overpaying and lower the total monthly bill. The right technology can automate much of this, and with LHD you can even outsource it entirely—and your HR department will love you forever for it.
Keeping Your Eyes on the Benefits Prize: Employee Well-Being
How important is it to focus on sophisticated, comprehensive benefits administration technologies? It’s vital! Up to this point, we’ve emphasized how the right solution in this area can relieve your overworked HR staff from most if not all the administrative burden of benefits management. But that’s just one reason. The ultimate goal is a healthy, happy workforce giving you their peak performance day in and day out.
If employees can easily understand the benefits offered and appreciate their value, they will also see how the company cares enough to invest in their well-being. This is an important morale booster. Employees who understand and appreciate the company benefits such as health care coverage are more likely to enroll and participate in the program. Employees engaged in the health benefits plan will be healthier, which means better performance, less absenteeism due to illness, and greater overall employee satisfaction resulting in less turnover and better retention.
LHD: Your Gateway to Better Benefits Administration
Like most companies, you want to do right by your employees, but you also must consider the overall cost of your benefit plans. The cost of employer provided health care benefits continues its ever-upward march. Running your business in a responsible manner means doing what you can to control those costs while still meeting the needs of employees to get the health care and prescription drugs they need. There are many opportunities to find significant savings, but you’ve got to know where to look and what to do about what you find. This effort takes time and expertise well beyond the capacity of most HR teams. LHD can take this on for you.
As you can see, there is a lot at stake when it comes to health and retirement benefit plans. When you want to make the most of comprehensive benefits administration technologies and services, LHD is ready to help! Get in touch through the Contact Us page of our website or dial us up directly at 317.751.7049. There’s no better time than now to take the first step toward better benefits administration.