Why a Benefits Enrollment System?
For years, HR Departments have been trying to reduce paperwork particularly in the area of benefits enrollment. It used to be you had to be a big employer to invest in enrollment technology or invest in a full-blown HRIS or high-end payroll system that may have online enrollment. All that has changed with internet-based systems with software provided as a service. And these systems are now available to small to mid-market employers.
If you have 200 or more employees, you likely need a web-based enrollment system. Even if you have less than 100 employees, it may be justified. Here are seven reasons why:
- Do away with paper, do away with errors
- Provide a 21 st century experience to your employees
- Allow employees to serve themselves
- Automate administration and management of your annual benefits open enrollment
- Allow employees more choices and a full range of voluntary benefits
- Centralize all your benefit elections onto only one system
- Integrate with your benefit carriers for frequent census updates and billing accuracy
1)Do away with paper, do away with errors
Eliminating paper is an HR person’s dream. It’s also a way to eliminate costly data entry errors and resulting frustration to employees.
2)Provide a 21 st century experience to your employees
Your employees use the internet to order plane tickets and buy food. Why not use similar technology to select benefit plans?
3)Allow employees to serve themselves
Employee self-service allows them to make choices on their own timetable and even outside of work. Obviously, doing an electronic enrollment also eliminates forms and double entry.
4)Automate the administration and management of your annual benefits open enrollment
With benefits technology, open enrollment and associated communications can all be electronic. No paper forms, SPDs, SBCs, provider directories, etc. All these reside on the enrollment platform. Once the enrollment ends, the data is ready to transmit to the carriers.
5)Allow employees more choices and a full range of voluntary benefits
The more benefit plans and options provided, the more headaches with paper-based enrollment and communications. Not so with electronic enrollment. A strong benefits enrollment platform can support multiple plan types, choices, carriers and options. This is especially helpful if a company has been wanting to add more benefit options or voluntary benefits but could not handle the administrative burdens without technology.
6)Centralize all your benefit elections onto only one system
Most employers add or change their benefit elections on carrier specific systems. There may be four to eight different systems you enter data on and try to keep up to date. A benefits enrollment platform means there is only one place to go for all benefit plans.
7)Integrate system with your benefit carriers for frequent census updates and billing accuracy
With one, integrated enrollment database, all enrollments occur on that site and then transmitted to all the various carriers. The enrollment database is the system of record and allows easy update, reconciliation and correction of carrier bills.