mary messerlie

About our blog author: Mary L. Messerlie has over 23 year experience working in HR and benefits for Fortune 500 Companies. Mary is currently a Sr. Benefit Specialist with Colonial Life & Accident Insurance Company in Indianapolis, Indiana. Mary is active on the INDY SHRM Consultant Forum, Red Cross Speakers Bureau, Toastmasters, Johnson County IU Alumni Board, and holds an adjunct faculty position with Indiana Tech.  Mary has a BS and MS degrees from Indiana University.

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Voluntary Benefits Bring Employees Choice

With the move toward high-deductible health plans, your role is changing from providing and paying for traditional benefits to providing access to a wide variety of quality benefits — both core and voluntary. This way, you can maintain a competitive benefits package and still provide employees with options to lessen the effects of their increased financial risk for medical expenses. Voluntary benefits can enhance and expand your benefits program without additional budget constraints. You can offer a wide variety of individual and group voluntary insurance products from life to disability and supplemental health coverage, and you can fund some of the costs or let employees pay the premiums. Employees can then choose products they need to fill any coverage gaps.

Effective Benefits Communications Is Essential

With the consumer-driven benefits approach, if you don’t effectively communicate benefits, employees perceive the approach as mere cost-shifting. That’s why effective benefits communication is vital. A voluntary benefits partner can bring you not only product solutions but also benefits communications solutions, such as one-on-one employee sessions that cover core benefits in addition to voluntary benefits. When done well, benefits communications can help employees learn about their benefits and learn about the value of what their employer provides.

According to the Watson Wyatt WorkUSA 2004 study, “how well a company communicates the value of its health benefits can do more to retain top-performing employees than the actual richness of the benefits themselves.” In companies that don’t do a good job communicating the value of their rich benefits programs, only 22 percent of surveyed employees were satisfied with their benefits package. Conversely, in organizations that do a comprehensive job communicating the value of less rich benefit packages, 76 percent of employees were satisfied with their benefits.

Find a quality voluntary benefits provider who can help you successfully implement the consumer-driven benefits approach by bringing voluntary coverage choices and effective benefits communications capabilities. You can benefit through better management of your benefits program budget, an enhanced benefits program and improved attraction and retention rates for quality employees. Employees can benefit by having a variety of coverage choices to meet their needs and by getting help to understand their benefits and the value of them.