4 ways for advisers to protect and build business during fourth quarter
As the end of the year approaches, it's important for your business to thrive. In this article from Employee Benefit Advisors, Ron Goldstein addresses the fundamental ways to protect and build your business during your fourth quarter. Check it out below.
The fourth quarter is one of the busiest and most chaotic times for brokers. It is also the “make-or-break” period for protecting and building their respective books of business for the coming year.
It is wise for agents to move quickly during this busy season to help clients get a head start on health plan renewals, annual budgeting and more. Here are four tips for brokers to keep in mind:
1) Identify network disruptions. The time is now to proactively talk with clients about any network disruptions or problems they may have with their coverage. For instance, it is well-established that people want to see their own doctors, specialists, pharmacies and hospitals. But when they unexpectedly cannot — or when access requires expensive out-of-network and out-of-pocket costs — substantial upset will occur. The result can be a significant business threat for brokers. It is best, then, to identify any network “pain points” before the busy season is in full swing. This provides brokers with the needed time to work with clients to resolve any issues while also helping to assure that they are avoided and averted in the future.
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2) Understand plan disrupters and alternatives. This may seem obvious, but it is a vital point worth driving home. Whether a plan is bronze, platinum or somewhere in between, there are often adjustments made from one year to the next. Agents need to be intimately familiar with any changes, whether significant or minor, that might disrupt a client’s existing coverage. This can include network modifications, premiums, copays and so forth. So, clearly understand any variations and be prepared to discuss alternative options based on a business owner’s needs and expectations.
3) Address client budgets. Remember to talk with employers about any budgetary changes to their business. Depending on the discussion, this can be the optimal time to kick-start a conversation about alternative defined-contribution options. For instance, perhaps there are opportunities to raise the fixed-dollar amount for employees and/or to explore value-added benefits such as dental, vision, life insurance and other ancillary offerings. On the flip side, you can consider basing your client’s contribution on a different plan option that may provide costs savings if they’re looking to try and reduce their healthcare expenditure. Either way, addressing budgets early on helps brokers ensure they are tailoring plans that best meet client needs.
4) Move off a Dec. 1 renewal period: Moving off of this date may help provide clients with a better open enrollment and underwriting experience. Many renewals get stacked up right before this deadline, putting more pressure on agent customer service. At the same time, it can be easy to get bogged down and rushed with multiple clients requiring quoting, enrollment, plan administration and more to meet looming deadlines. Beginning the renewal process earlier in the quarter provides brokers and their clients with plenty of time to work together to address and select the right plan offerings. Additionally, it may make sense to also explore a larger array of options and pricing advantageous to brokers and clients alike.
While the end of 2017 is ahead, the beginning to a successful 2018 is right now for brokers, agents and benefits professionals. Those who anticipate client needs early-on and take pre-emptive efforts now will be better positioned to lock-in and expand business for the coming year.
You can read the original article here.
Source:
Goldstein R. (20 October 2017). "4 ways for advisers to protect and build business during fourth quarter" [Web Blog Post]. Retrieved from address https://www.employeebenefitadviser.com/opinion/4-ways-for-employee-benefit-brokers-to-protect-and-build-business-during-fourth-quarter
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10 signs your workplace culture is toxic (and how to fix it)
Having a positive work environment is vital to the success and engagement of your employees. However, mainting that positivity, especially during busy quarters, can be dificult or even forgotten about. Today, we wanted to provide you with an informative article on staying away from toxic environments. From HRMorning.com, here are 10 signs your workplace culture is toxic (and how to fix it).
It’s a hard thing to admit … that your work culture may be toxic. But identifying the symptoms and finding the antidotes for them can quickly improve morale, engagement, retention and productivity. Let’s get started.
Here to help is Ross Kimbarovsky, founder and CEO of crowdspring, who has some unique insights into the signs of a toxic workplace and how to remedy them.
Are your employees tired? Discouraged? Burnt out?
If the answer is yes, you may have a toxic culture at work.
That’s a problem. Unhappy workers are less productive, make more mistakes, and are more likely to seek employment elsewhere.
Work culture exists on multiple levels. It isn’t just behaviors. It’s also an infrastructure of beliefs and values. To create real and lasting change, your business must tackle cultural issues on all levels.
You must act quickly to improve a negative work environment before productivity lags and employees abandon ship.
Here’s a step-by-step guide to help you turn around a toxic work culture:
1. Identify problem behaviors
Every company is unique. There is no one-size-fits-all solution for repairing a damaged work culture.
The first step is always to examine your business’s culture to identify your specific challenges.
Start by taking a critical look around you. Before you can change for the better, you have to face uncomfortable truths head-on.
Ten common warning signs a workplace is turning toxic are:
- gossiping and/or social cliques
- aggressive bullying behavior
- poor communication and unclear expectations
- dictatorial management techniques that don’t embrace employee feedback
- excessive absenteeism, illness or fatigue
- favoritism and imbalanced working conditions (discriminatory policies/wage gaps)
- workaholic behavior that sacrifices healthy work/life balance
- unrealistic workloads or deadlines
- little (or strained interaction) between employees or employees and management, and
- unsafe or morally questionable working conditions.
You probably won’t find all of these, and you may find problems not listed here. But whatever problems you find – take note. Those issues will inform your plan to rescue your work culture.
2. Evaluate the underlying support network
A toxic culture can’t take root without a fertile environment, and its symptoms can’t survive without a supportive infrastructure.
So, it’s time to dig deeper. What shared values and actions are helping to support those behaviors?
Examine your company’s leadership and their values. Then work your way from the top of the ladder to the bottom looking for issues like:
- discriminatory beliefs
- treating employees as assets, not people
- information guarding (poor communication/unclear expectations)
- aggressive or hostile leadership styles
- belief that employees are lazy, stupid and/or expendable
- resentment of Authority
- contrariness
- lack of accountability
- lack of appreciation for (or recognition of) good work
All of these are problematic and set the foundation for a negative work culture.
3. Plan your repair strategy
With a clear understanding of the illness, you can now strategize your treatment plan.
And remember – change is hard. Don’t try to fix everything at once. Prioritize.
Tackle the problem behaviors that have the biggest impact first, and smaller issues will likely begin to right themselves. Here are some strategic antidotes to many of the most common workplace problems:
- Listen to your employees. Hear their grievances, validate their experiences and make the changes necessary to address their issues. This can come in the form of one-on-one conversations, a town hall meeting with HR, or simple blind surveys. Listen, validate, and work together to find solutions.
- Assign realistic workloads and deadlines. This means taking the time to learn what your employees actually do. What are they responsible for, and how long do those tasks take? Remember that there are only 60 minutes in every hour and assign tasks accordingly.
- Communicate transparently. Employees can’t do their jobs well without understanding the context. Having the information to do one’s job reduces confusion and frustration, making employees happier and more efficient. Hold weekly meetings, and send frequent memos or a company newsletter. Share the information they need to know.
- Acknowledge work well done. A study by the Boston Consulting Group reports “appreciation for your work” as the most important factor to job happiness. Find ways to show appreciation. Tell employees what they’re doing well – they’ll feel appreciated (and be more likely to continue doing it). Build a supportive environment by sharing employee successes and make positive encouragement a group activity.
- Treat all employees by the same rules. Playing favorites breeds resentment. Examine your company policies – do they unfairly benefit one group over others? Be open to feedback; employees may see problems that you don’t. Then even the playing field, and require all employees to follow the rules.
- Foster emotional intelligence. The BCG Study included good relationships with colleagues and superiors among the top five elements leading to job satisfaction. Banish bullying, disrespect and dismissive behavior. Prioritize emotional intelligence. Provide resources to help employees expand their emotional intelligence. Improved emotional intelligence can cure a number of ills.
While these are all great suggestions for every company, be mindful of your business’ challenges, and choose your action items accordingly.
4. Implement your plan
John Kotter of Kotter International asserts that leaders are catalysts for workplace change. If you’re in charge, you have a powerful platform for motivating change. But, be prepared to live the changes you want to see if you want anyone to take those changes seriously.
Making change easy, rewarding and socially acceptable are the keys to success. Humans have a strong drive to be a part of the group. Normalize the behaviors you seek by asking the social influencers in your business to promote those behaviors, too.
Make it easy for your employees to implement positive changes by removing barriers to success. This, again, will require that you listen to your employees to know what those barriers are.
Finally, help your employees see how the changes you’re proposing will reward them with a more positive workplace.
5. Reflect and adapt
Give your new policies and practices time to take root. Change won’t happen overnight.
After a few months, take stock. What has changed? What hasn’t?
Meet with the influencers you enlisted to help with your implementation. Reflect on how things have gone. Different perspectives can offer useful insight.
Assess your progress, and adapt your efforts as needed. Keep the lines of communication open.
Cultural change is a big undertaking; but well worth the effort. Perseverance will lead you to success.
You can read the original article here.
Source:
Guest Author (6 October 2017). "10 signs your workplace culture is toxic (and how to fix it)" [Web Blog Post]. Retrieved from address https://www.hrmorning.com/10-signs-your-workplace-culture-is-toxic-and-how-to-fix-it/
Dealing with acidic attitudes: Help for your managers
It's important to have positive attitudes at the top of your employee pyramid to promote positive attitudes all around the office. Take some time today to read this helpful blog post on acidic attitudes, and how to avoid them in your managers.
Every workplace has negative people who erode morale. They’re not always easy to pick out of a crowd, but they can do an amazing amount of damage over time.
Most of the time, these folks don’t make the big mistakes that call attention to themselves. They’re frequently pretty good at their jobs, so they’re not called on the carpet too often.
But like a virus running in the background of a computer program, their acidic personalities eat away at the goals – and ultimately the bottom line – of the company week after week, year after year.
Who are these people? They’re the employees who:
- continually find things to complain about and exaggerate the seriousness of co-workers’ mistakes
- spread gossip and start rumors that pit employees against each other
- talk behind co-workers’ backs, and
- undermine supervisors’ authority with a never-ending flow of criticism that stays under-the-radar so it’s rarely recognized and corrected.
It’s been said the only way to fix a bad attitude is through psychotherapy, religion or brain surgery. But it’s a rare manager who is a shrink, a minister and a neurosurgeon.
Still, every manager needs a strategy to deal with this constant drag on employee attitudes.
The stakes are too high to just let things slide.
Looking for answers – 4 key questions
So what’s to be done? The experts say managers should move away from the vague “bad attitude” discussion to the hard facts of employee behavior.
The key questions:
- What’s the impact of the employee’s behavior?
- How do the person’s actions differ from the standards set for overall employee behavior?
- What’s the effect of this individual’s behavior on the people who work with him/her?
- If this person acted according to our accepted standards, could it make a difference in morale and productivity?
Managers should identify the actions of negative people – and make it clear those actions will no longer be tolerated.
An example: A Midwestern company established a “no jerk” policy. It included the statement:
Each employee will demonstrate professional behavior that supports team efforts and enhances team behavior, performance and productivity.
Handling tough conversations with acidic employees
Establishing policy is a solid first step; it creates a good framework.
But managers need practical advice that gets results day to day on the front lines.
Managers need one-on-one coaching sessions to cover these points:
- Acknowledge the awkwardness. Managers can let employees know they’re providing feedback that’s difficult to discuss. It’s only human to feel that way.
- Keep it results-oriented. A phrase like “I’m bringing this up because it’s important you address this issue to be successful in your job” is helpful.
- Accentuate the positive. It’s a good idea to highlight the good things that are likely to happen when the person changes the disruptive behavior. On the other hand, if the person remains defiant, stressing the negative outcome if the person’s attitude doesn’t change can be effective, too.
It’s human nature to want to delay having a tough conversation with an employee with a bad attitude. But that only makes things worse.
And since it’s going to be a tough conversation, it’s recommended that supervisors prepare for the discussion.
Suggestions for handling the confrontation:
- Be specific about what you want. It’s a mistake to use general terms in a discussion about a specific behavior problem. For example, a manager says “I don’t like your attitude. I want you to change it.” That’s pretty safe, but it could mean anything.
Instead, the manager should say “It’s not helpful the way you talk about our customers behind their backs. It poisons the attitude of the others in customer service. From now on, if you can’t say something supportive of a customer, please don’t say anything at all.”
Managers should try to gather specific examples of negative things the employee has said in the past, and use those in the discussion for clarity. - Let people rant … a little. Once a manager has gotten through discussing the specific behaviors, it’s likely the other person is going to feel the need to blow off steam and maybe even mount a defense. To avoiding having people feel like they are on the witness stand, let them rant a bit.
It’ll help them feel like they are being heard – because they are. Then steer the conversation back to the results you want. - Try to use “we.” Work to get across the notion that the issue is a problem for everyone concerned. A manager can start by saying “We have a problem” or “We need to change.”
The helps the person realize the behavior is important, without finger-pointing. - Avoid overusing “you.” Putting all the responsibility on the employee is a conversational black hole that’s impossible to escape. The constant use of the word you, as in “You have a bad attitude and everyone knows it” is an invitation for a fight.
Instead, try “We need to talk about your attitude.”
The point here is, while it is OK to use the word “you,” using it continually in a negative way kills the conversation. - Avoid “however” and “but.” Some managers believe that if they lead with a compliment, it’s easier to wade into the problem. That conversation looks something like this: “You’ve done a pretty good job, but …” and then the manager lowers the boom.
That often angers people and leaves them thinking, “Why can’t he ever just say something positive and leave it at that?”
Consider substituting “and” for “but” and “however,” and the conversation is likely to go smoother, as in: “You’re doing a pretty good job and we need to talk about how to get you to show more respect for customers.” - Don’t feel as if you have to fill the silence. In a tense situation a manager may be tempted to fill every gap in the conversation. Don’t. Stay silent when there’s a lull. Obligate the other person to fill in the silence.
It’s surprising the amount of information a manager can get without ever asking a question … just by remaining silent.
You can read the original article here.
Source:
Gould T. (25 March 2015). "Dealing with acidic attitudes: Help for your managers" [Web blog post]. Retrieved from address https://www.hrmorning.com/managers-dealing-with-negative-attitudes/
CenterStage...Open Season for Open Enrollment
In this month’s CenterStage, we interviewed Rich Arnold for some in-depth information on Medicare plans and health coverage. Read the full article below.
Open Season for Open Enrollment: What does it mean for you?
There are 10,000 people turning 65 every single day. Medicare has a lot of options, causing the process to be extremely confusing. Rich – a Senior Solutions Advisor – works hard to provide you with the various options available to seniors in Ohio, Kentucky and Indiana and reduce them to an ideal, simple, and easy-to-follow plan.
“For me, this is all about helping people.”
– Rich Arnold, Senior Solutions Advisor
What does this call for?
To provide clients with top-notch Medicare guidance, Rich must analyze their current doctors and drugs for the best plan option and properly educate them to choose the best program for their situation and health. It’s a simple, free process of evaluation, education, and enrollment.
For this month’s CenterStage article, we asked Rich to break down Medicare for the senior population who are in desperate need of a break from the confusion.
Medicare Break Down
Part A. Hospitalization, Skilled Nursing, etc.
If you’ve worked for 40 quarters, you automatically obtain Part A coverage.
Part B. Medical Services: Doctors, Surgeries, Outpatient visits, etc.…
You must enroll and pay a monthly premium.
Part C. Medicare Advantage Plans:
Provides most of your hospital and medical expenses.
Part D.
Prescription drug plans available with Medicare.
Under Parts A & B there are two types of plans…
Supplement Plan or Medigap Plan
A Medicare Supplement Insurance (Medigap) policy can help pay some of the health care costs that Original Medicare doesn’t cover, like copayments, coinsurance, and deductibles, coverage anywhere in the US as well as travel outside of the country, pay a monthly amount, and usually coupled with a prescription drug plan.
Advantage Plan
A type of Medicare health plan that contracts with Medicare to provide you with all your Part A and Part B benefits generally through a HMO or PPO, pay a monthly amount from $0 and up, covers emergency services, and offers prescription drug plans.
How does this effect you?
Medicare starts at 65 years of age, but Rich advises anyone turning 63 or 64 years of age to reach out to an advisor, such as himself, for zero cost, to be put onto their calendar to follow up at the proper time to investigate the Medicare options. Some confusion exists about Medicare and Social Security which are separate entities. Social Security does not pay for the Supplement or Advantage plans.
Medicare Open Enrollment: Open Enrollment occurs between October 15th and December 7 – yes, right around the corner! However, don’t panic, Rich and his services can help you if you are turning 65 or if you haven’t reviewed your current plan in over a year – you should seek his guidance.
Your plan needs to be reviewed every year to best fit your needs. If you’re on the verge of 65, turning 65 in the next few months, or over 65, you should consult your Medicare advisor as soon as possible. For a no cost analysis of your needs contact Rich, Saxon Senior Solutions Advisor, rarnold@gosaxon.com, 513-808-4879.
Absent federal action, states take the lead on curbing drug costs
What's your state's stance on the cost of prescription drugs? See how Maryland has moved forward in their decision making for drug prices, giving themselves the ability to say "no" in this article from Benefits Pro written by Shefali Luthra.
You can read the original article here.
Lawmakers in Maryland are daring to legislate where their federal counterparts have not: As of Oct. 1, the state will be able to say “no” to some pharmaceutical price spikes.
A new law, which focuses on generic and off-patent drugs, empowers the state’s attorney general to step in if a drug’s price climbs 50 percent or more in a single year. The company must justify the hike. If the attorney general still finds the increase unwarranted, he or she can file suit in state court. Manufacturers face a fine of up to $10,000 for price gouging.
As Congress stalls on what voters say is a top health concern — high pharmaceutical costs — states increasingly are tackling the issue. Despite often-fierce industry opposition, a variety of bills are working their way through state governments. California, Nevada and New York are among those joining Maryland in passing legislation meant to undercut skyrocketing drug prices.
Maryland, though, is the first to penalize drugmakers for price hikes. Its law passed May 26 without the governor’s signature.
The state-level momentum raises the possibility that — as happened with hot-button issues such as gay marriage and smoke-free buildings — a patchwork of bills across the country could pave the way for more comprehensive national action. States feel the squeeze of these steep price tags in Medicaid and state employee benefit programs, and that applies pressure to find solutions.
“There is a noticeable uptick among state legislatures and state governments in terms of what kind of role states can play in addressing the cost of prescription drugs and access,” said Richard Cauchi, health program director at the National Conference of State Legislatures.
Many experts frame Maryland’s law as a test case that could help define what powers states have and what limits they face in doing battle with the pharmaceutical industry.
The generic-drug industry has already filed a lawsuit to block the law, arguing it’s unconstitutionally vague and an overreach of state powers. A district court is expected to rule soon.
The state-level actions focus on a variety of tactics:
“Transparency bills” would require pharmaceutical companies to detail a drug’s production and advertising costs when they raise prices over certain thresholds. Cost-limit measures would cap drug prices charged by drugmakers to Medicaid or other state-run programs, or limit what the state will pay for drugs. Supply-chain restrictions include regulating the roles of pharmacy benefit managers or limiting a consumer’s out-of-pocket costs.
A New York law on the books since spring allows officials to cap what its Medicaid program will pay for medications. If companies don’t sufficiently discount a drug, a state review will assess whether the price is out of step with medical value.
Maryland’s measure goes further — treating price gouging as a civil offense and taking alleged violators to court.
“It’s a really innovative approach. States are looking at how to replicate it, and how to expand on it,” said Ellen Albritton, a senior policy analyst at the left-leaning Families USA, which has consulted with states including Maryland on such policies.
Lawmakers have introduced similar legislation in states such as Massachusetts, Rhode Island, Tennessee and Montana. And in Ohio voters are weighing a ballot initiative in November that would limit what the state pays for prescription drugs in its Medicaid program and other state health plans.
Meanwhile, the California legislature passed a bill earlier in September that would require drugmakers to disclose when they are about to raise a price more than 16 percent over two years and justify the hike. It awaits Democratic Gov. Jerry Brown’s signature.
In June, Nevada lawmakers approved a law similar to California’s but limited to insulin prices. Vermont passed a transparency law in 2016 that would scrutinize up to 15 drugs for which the state spends “significant health care dollars” and prices had climbed by set amounts in recent years.
But states face a steep uphill climb in passing pricing legislation given the deep-pocketed pharmaceutical industry, which can finance strong opposition, whether through lobbying, legal action or advertising campaigns.
Last fall, voters rejected a California initiative that would have capped what the state pays for drugs — much like the Ohio measure under consideration. Industry groups spent more than $100 million to defeat it, putting it among California’s all-time most expensive ballot fights. Ohio’s measure is attracting similar heat, with drug companies outspending opponents about 5-to-1.
States also face policy challenges and limits to their statutory authority, which is why several have focused their efforts on specific parts of the drug-pricing pipeline.
Critics see these tailored initiatives as falling short or opening other loopholes. Requiring companies to report prices past a certain threshold, for example, might encourage them to consistently set prices just below that level.
Maryland’s law is noteworthy because it includes a fine for drugmakers if price increases are deemed excessive — though in the industry that $10,000 fine is likely nominal, suggested Rachel Sachs, an associate law professor at Washington University in St. Louis who researches drug regulations.
This law also doesn’t address the trickier policy question: a drug’s initial price tag, noted Rena Conti, an assistant professor in the University of Chicago who studies pharmaceutical economics.
And its focus on generics means that branded drugs, such as Mylan’s Epi-Pen or Kaleo’s overdose-reversing Evzio, wouldn’t be affected.
Yet there’s a good reason for this, noted Jeremy Greene, a professor of medicine and the history of medicine at Johns Hopkins University who is in favor of Maryland’s law.
Current interpretation of federal patent law suggests that the issues related to the development and affordability of on-patent drugs are under federal jurisdiction, outside the purview of states, he explained.
In Maryland, “the law was drafted narrowly to address specifically a problem we’ve only become aware of in recent years,” he said. That’s the high cost of older, off-patent drugs that face little market competition. “Here’s where the state of Maryland is trying to do something,” he said.
Still, a ruling against the state in the pending court case could have a chilling effect for other states, Sachs said, although it would be unlikely to quash their efforts.
“This is continuing to be a topic of discussion, and a problem for consumers,” said Sachs.
“At some point, some of these laws are going to go into effect — or the federal government is going to do something,” she added.
Kaiser Health News, a nonprofit health newsroom whose stories appear in news outlets nationwide, is an editorially independent part of the Kaiser Family Foundation. KHN’s coverage of prescription drug development, costs and pricing is supported in part by the Laura and John Arnold Foundation.
Source:
Luther S. (29 September 2017). "Absent federal action, states take the lead on curbing drug costs" [Web Blog Post]. Retrieved from address https://www.benefitspro.com/2017/09/29/absent-federal-action-states-take-the-lead-on-curb?page=2
How data analytics is changing employee benefit strategies
As technology continues to grow and expand, more employers are turning to digital platforms when it comes to managing their employee benefits program. With more access to technology, employers can use data accumulated from their employees to better personalize their employee benefits package to fit each individual's needs. Take a look at this column by Eric Helman from Employee Benefit Advisor and find out some more tips on how you can better leverage the data from an employee benefits program to fit your employees'es needs.
In the realm of employee benefits, surveys, focus groups and anecdotes about specific employee encounters with the benefits program typically drive the discussions about how that program should evolve in the future. Unlike the situation at Outback, it is difficult to “observe” how people actually consume benefits and tailor a program that is attractive to them.
Fortunately, recent developments in data analytics have unlocked the potential of using consumer behavior insights to drive employee benefits strategy.
Leading practitioners are beginning to leverage these developments to change the annual renewal process. The technologies that support data aggregation, normalization and reporting have been aggressively developed to support the provider and payer communities. Only now have these advancements been made available to employers and their advisers.
The most successful practitioners point to the value of standardized claims reporting based upon credible data. By combining current claims data with industry benchmarks and predictive analytics, employers gain insight into the ongoing performance of their benefit plans. They “see” for themselves what industry professionals have been telling them for years. Plan performance is based upon claims, both in terms of the number of units of healthcare consumed and the price of those units. In recent surveys, benefit professionals report the difficulty they have in convincing CFOs and CEOs to make the necessary changes to benefit programs. Standardized reporting from a credible analytics platform can greatly enhance the ability for benefit professionals to communicate their agenda.
But standardized reporting is not the panacea. Benefits are complex. And the relationship between risk and consumption of healthcare add to the complexity. Even in the best reporting environments where executives are well informed about the performance of their plans and how the key metrics compare to industry norms, they are often perplexed about what to do with the information. Advancements in the realm of “actionable analytics” are beginning to address this problem as well.
While artificial intelligence or AI is all the rage, the underlying concept of having a computer suggest a course of action based upon data is not a new idea. The new application to employee benefits is the ability to provide “suggestions” in the context of standardized financial reporting. The number of ideas to bend the cost curve are numerous. The challenge is matching these ideas with the appropriate populations, convincing decision makers to invest and engaging the appropriate cohorts of employees to take specific actions necessary to realize the return on investment for these initiatives.
New systems are now available to close the gaps on this execution continuum. The foundation for these new systems is a robust analytics platform. But actionable analytics build upon this foundation by evaluating the employer’s data to discern whether a specific cost-saving initiative might generate savings worthy of the investment. These new systems present the output of that analysis in an easy to understand graphical format for benefit consultants and HR professionals to effectively communicate the potential of cost savings initiatives to decision makers.
Targeted engagement maximizes compliance and ROI
Getting executives to commit to intentional actions to affect the rising costs of benefits solves one half of the problem. The second half of the problem is one of focus. Rather than attempting to engage all employees with generalized messaging, these new systems use analytics to focus their engagement on a specific cohort of individuals in order to drive the greatest impact. This focus allows for a concentration of resources on the targeted populations, resulting in increased compliance and larger return on investment. The best implementations are integrated with benefits administration platforms and can incorporate multiple initiatives simultaneously. Point solutions, from an engagement perspective, have been proven to result in single-digit compliance. The power of an integrated engagement solution allows for initiatives that, because they are both focused and automated, can be executed simultaneously.
Advancements in technology have created a new era in which the democratization of big data allows for non-technical professionals to access detailed information and convert that information into intelligence. According to a recent survey, more than 65% of employers confess they are not strategic when it comes to benefits cost management. In spite of the many cost savings ideas available, more than 40% say they are not engaging in any new initiatives in the upcoming year. While the future of healthcare reform is in doubt, the potential for actionable analytics to significantly change the trajectory of the employer’s benefits costs is certain.
See the original article Here.
Source:
Helman E. (2017 September 5). How data analytics is changing employee benefit strategies [Web blog post]. Retrieved from address https://www.employeebenefitadviser.com/opinion/closing-the-execution-continuum-on-employee-benefit-cost-savings
Avoid these 12 Common Open Enrollment Mistakes
Open enrollment season is right around the corner. Check out this great column by Alan Goforth from Benefits Pro and find out the top mistakes employers and HR have made during open enrollment and what you can do to avoid them.
Every employer or human resources professional has made mistakes during open enrollment.
Trying to accommodate the diverse needs of the workforce in a short timeframe against the backdrop of increasing options and often bewildering regulations, can be a challenge even in the best-run companies.
Avoiding mistakes is impossible, but learning from them is not. Although the list may be limitless, here are a dozen of the most common pratfalls during open enrollmentand how to avoid tripping over them.
1. Failing to communicate
"What we've got here… is failure to communicate." – Cool Hand Luke
This mistake likely has topped the list since open enrollment first came into existence, and it will probably continue to do so. That's because enrollment is a complex procedure, and few challenges are greater that making sure employers, employees, brokers and carriers are on the same page.
Employers have both a stick and a carrot to encourage them to communicate as well as possible. The stick is the Affordable Care Act, which requires all employers subject to the Fair Labor Standards Act to communicate with employees about their health-care coverage, regardless of whether they offer benefits.
As a carrot, an Aflac study found that 80 percent of employees agree that a well-communicated benefits package would make them less likely to leave their jobs
2. Neglecting technology
The integration of new technology is arguably the most significant innovation in the enrollment process in recent years.
This is especially important as younger people enter the workforce. Millennials repeatedly express a preference for receiving and analyzing benefits information by computer, phone or other electronic devices.
The challenge is to make the use of technology as seamless as possible, both for employees who are tech-savvy and for those who are not.
Carriers and brokers are making this an emphasis, and employers should lean on them for practical advice.
See the original article Here.
3. Over-reliance on technology
At the other end of the spectrum is the temptation to rely on technology to do things it never was meant to do.
"Technology is so prevalent in the enrollment space today, but watch out for relying on technology as the one thing that will make or break enrollment," says Kathy O'Brien, vice president of voluntary benefits and nation client group services for Unum in Chattanooga, Tennessee. "Technology is great for capturing data, but it won't solve every problem and doesn't change the importance of the other work you need to do."
4. Succumbing to inertia
It can be frustrating to invest substantial time and effort into employee benefit education, only to have most of the staff do nothing.
Yet that is what happens most of the time. Just 36 percent of workers make any changes from the previous enrollment, and 53 percent spend less than one hour making their selections, according to a LIMRA study.
One reason may be that employees don’t feel assured they are making the right decisions.
Only 10 percent felt confident in their enrollment choices when they were done, according to a VSP Vision Care study. One good strategy for overcoming inertia is to attach dollar values to their choices and show where their existing selections may be leaving money on the table.
5. Cutting too many corners
One of the most difficult financial decisions employers make each year is deciding how much money to allocate to employee benefits.
Spending too much goes straight to the bottom line and could result in having to lay off the very employees they are trying to help. Spending too little, however, can hurt employee retention and recruiting.
Voluntary benefits offer a win-win solution. Employees, who pick up the costs, have more options to tailor a program that meets their own needs.
In a recent study of small businesses, 85 percent of workers consider voluntary benefits to be part of a comprehensive benefits package, and 62 percent see a need for voluntary benefits.
6. Not taking a holistic approach
"Holistic" is not just a description of an employee wellness program; it also describes how employers should think about employee benefit packages.
The bread-and-butter benefits of life and health insurance now may include such voluntary options as dental, vision and critical illness. Employers and workers alike need to understand how all of the benefits mesh for each individual.
Businesses also need to think broadly about their approach to enrollment
"Overall, we take a holistic approach to the customer’s enrollment program, from benefits communication to personalized benefits education and counseling, as well as ongoing, dedicated service," says Heather Lozynski, assistant vice president of premier client management for Colonial Life in Columbia, South Carolina. "This allows the employer to then focus on other aspects of their benefits process."
7. Unbalanced benefits mix
Employee benefits have evolved from plain vanilla to 31 (or more) flavors.
As the job market rebounds and competition for talented employees increases, workers will demand more from their employers.
Benefits that were once considered add-ons are now considered mandatory.
Round out the benefits package with an appealing mix of standard features and voluntary options with the objective of attracting, retaining and protecting top-tier employees.
8. Incomplete documentation
Employee satisfaction is a worthy objective — and so is keeping government regulators happy.
The Affordable Care Act requires employers who self-fund employee health care to report information about minimum essential coverage to the IRS, at the risk of penalties.
Even if a company is not required by law to offer compliant coverage to part-time employees, it still is responsible for keeping detailed records of their employment status and hours worked.
As the old saying goes, the job is not over until the paperwork is done.
9. Forgetting the family
The Affordable Care Act has affected the options available to employers, workers and their families.
Many businesses are dropping spousal health insurance coverage or adding surcharges for spouses who have access to employer-provided insurance at their own jobs.
Also, adult children can now remain on their parents' health policies until they are 26.
Clearly communicate company policies regarding family coverage, and try to include affected family members in informational meetings.
Get to know more about employees' families — it will pay dividends long after open enrollment.
10. Limiting enrollment options
Carriers make no secret about their emphasis on electronic benefits education and enrollment.
All things considered, it is simpler and less prone to copying and data-entry errors.
It would be a mistake, however, to believe that the high-tech option is the first choice of every employee.
Be sure to offer the options of old-fashioned paper documents, phone registration and face-to-face meetings. One good compromise is an on-site enrollment kiosk where a real person provides electronic enrollment assistance.
11. Letting benefits go unused
A benefit is beneficial only if the employee uses it. Too many employees will sign up for benefits this fall, forget about them and miss out on the advantages they offer.
Periodically remind employees to review and evaluate their available benefits throughout the year so they can take advantage of ones that work and drop those that do not.
In addition to health and wellness benefits, also make sure they are taking advantage of accrued vacation and personal days.
Besides maximizing the return on their benefit investment, it will periodically remind them that the employer is looking out for their best interests.
12. Prematurely closing the 'OODA' loop
Col. John Boyd of the U.S. Air Force was an ace fighter pilot. He summarized his success with the acronym OODA: Observe, Orient, Decide and Act. Many successful businesses are adopting his approach.
After the stress of open enrollment, it's tempting to breathe a sigh of relief and focus on something else until next fall.
However, the close of enrollment is a critical time to observe by soliciting feedback from employees, brokers and carriers.
What worked this year, and what didn't? What types of communications were most effective? And how can the process be improves in 2017?
"Make sure you know what is working and what is not," said Linda Garcia, vice president for human resources at Rooms to Go, a furniture retailer based just outside Tampa. "We are doing a communications survey right now to find out the best way to reach each of our 7,500 employees. We also conduct quarterly benefits surveys and ask for their actual comments instead of just checking a box."
Source:
Goforth A. (2017 Aug 22). Avoid these 12 common open enrollment mistakes [Web blog post]. Retrieved from address https://www.benefitspro.com/2017/08/22/avoid-these-12-common-open-enrollment-mistakes?ref=hp-in-depth&page_all=1
6 employee benefits trends in 2017
2018 is almost upon us. More employers are beginning to start their search for new talent next year. If you are in the process of hiring check out this great article put together by Marlene Y. Satter from Benefits Pro and find out the top employee benefit trends for attracting new talent in 2017.
Employers looking to attract the best new employees need to look closely at their benefits offerings.
That’s according to a CBS report that highlights the six trends in benefits that are of the most interest to prospective employees. With millennials having outpaced GenXers as the largest demographic in the workplace, the report says, “it has become abundantly clear over the course of the last half decade that millennials have very different career priorities than their predecessors.”
With that in mind, here are six types of benefits employers might want to consider, if they’re not already on offer.
Flex hours are high on the list for millennials, who regard life/work balance as very important. In fact, according to a PwC study, it’s more important to them than financial compensation. Flexible schedules provide a way for employers to give that balance to employees, allowing them to work hours other than 9-to-5, or from home part of the week. As a result, the report says, employees will have better job satisfaction and be more likely to stay.
Workplace wellness programs are another way to provide a perk that pays off for both employer and employee — and not necessarily at a high cost, the report says. Not only do such programs foster a strong sense of team unity that will help drive job satisfaction and productivity, they also cut health care costs.
Continuing education not only gives employees a leg up, but also provides employers with better-trained staff who are able to cope with modern challenges and less likely to jump ship in search of a more congenial workplace. While the report concedes that most small and midsize businesses don’t have the budget to provide postgrad tuition to employees, that doesn’t mean that companies can’t focus on such investments in language and software certification classes.
Digital health care solutions enable masters of the cyber world in the workforce to reach out to health practitioners via mobile devices and computers, resulting in faster and more personalized treatment. In addition, the report says, “digital health programs are also incredibly cost effective and are estimated to save billions in medical costs over the next four years.”
Fringe benefits and perks — even if not on the scale of big-budget Silicon Valley companies — are another way to woo millennial employees. Public transportation passes, reimbursing employees for yoga classes and massage sessions and providing free lunches or snacks, can give recruiting an edge over companies that do nothing along these lines, the report points out.
Last but not least, there’s a bigger budget of vacation days. Employers may think that’s too expensive, but employee burnout is responsible for 50 percent of employee churn— and the cost of replacing even an entry-level employee can cost a company up to 50 percent of his or her annual salary. The money spent on extra vacation to avoid burnout could be more than offset by the losses of not doing so. Plus, the knowledge that well-rested employees are more productive will also help to counter the down time that might be caused by those additional days off.
See the original article Here.
Source:
Satter M. (2017 September 5 ). 6 employee benefits trends in 2017 [Web blog post]. Retrieved from address https://www.benefitspro.com/2017/09/05/6-employee-benefits-trends-in-2017?page=2&page_all=1
4 Trends Shaping Cybersecurity in 2017
The threat of cyber attacks is increasing every day. Make sure you are stay up-to-date with all the recent news and trends happening in the world of cyber security so you can stay informed on how to protect yourself from cyber threats. Check out this great column by Denny Jacob from Property Casualty 360 and find out about the top 4 trends impacting cybersecurity this year.
No. 4: Growing areas of concern
Organizations with a chief information security officer (CISO) in 2017 increased to 65 percent compared to 50 percent in 2016. Staffing challenges and budgetary distribution, however, reveal where organizations face exposure.
Finding qualified personnel to fill cybersecurity positions is as ongoing challenge. For example, one-third of study respondents note that their enterprises receive more than 10 applicants for an open position. More than half of those applicants, however, are unqualified. Even skilled applicants require time and training before their job performance is up to par with others who are already working on the company's cybersecurity operation.
Half of the study respondents reported security budgets will increase in 2017, which is down from 65 percent of respondents who reported an increase in 2016. This, along with staffing challenges, has many enterprises reliant on both automation and external resources to offset missing skills on the cybersecurity team.
Another challenge: Relying on third-party vendors means there must be funds available to offset any personnel shortage.
If the skills gap continues unabated and the funding for automation and external third-party support is reduced, businesses will struggle to fill their cybersecurity needs.
No. 3: More complicated cyber threats
Faced with declining budgets, businesses will have less funding available on a per-attack basis. Meanwhile, the number of attacks is growing, and they are becoming more sophisticated.
More than half (53 percent) of respondents noted an increase in the overall number of attacks compared previous years. Only half (roughly 50 percent) said their companies executed a cybersecurity incident response plan in 2016.
Here are some additional findings regarding the recent uptick in cyber breaches:
• 10 percent of respondents reported experiencing a hijacking of corporate assets for botnet use;• 18 percent reported experiencing an advanced persistent threat (APT) attack; and
• 14 percent reported stolen credentials.
• Last year’s results for the three types of attacks were:
• 15 percent for botnet use;
• 25 percent for APT attacks; and
•15 percent involving stolen credentials.
Phishing (40 percent), malware (37 percent) and social engineering (29 percent) continue to top the charts in terms of the specific types of attacks, although their overall frequency of occurrence decreased: Although attacks are up overall, the number of attacks in these three categories is down.
No. 2: Mobile takes a backseat to IoT
Businesses are now more sophisticated in the mobile arena. The proof: Cyber breaches resulting from mobile devices are down. Only 13 percent of respondents cite lost mobile devices as an exploitation vector in 2016, compared to 34 percent in 2015. Encryption factors into the decrease; only 9 percent indicated that lost or stolen mobile devices were unencrypted.
IoT continues to rise as an area of concern. Three out of five (59 percent) of the 2016 respondents cite some level of concern relative to IoT, while an additional 30 percent are either "extremely concerned" or "very concerned" about this exposure.
IoT is an increasingly important element in governance, risk and cybersecurity activities. This is a challenging area for many, because traditional security efforts may not already cover the functions and devices feeding this digital trend.
No. 1: Ransomware is the new normal
The number of code attacks, including ransomware attacks, remains high: 62 percent of respondents reported their enterprises experienced a ransomware attackspecifically.
Half of the respondents believe financial gain is the biggest motivator for criminals, followed by disruption of service (45 percent) and theft of personally identifiable information (37 percent). Despite this trend, only 53 percent of respondents' companies have a formal process in place to deal with ransomware attacks.
What does that look like?
Businesses can conduct "tabletop" exercises that stage a ransomware event or discuss in advance decisions about payment vs. non-payment. Payment may seem like the easiest solution, but law enforcement agencies warn it can have an encouraging effect on those criminals as some cases lead to repeated attacks of the same business.
Many cybersecurity specialists argue that the best way to fight a ransomware attack is to avoid one in the first place. Advance planning that might include the implementation of a governing corporate policy or other operating parameters, can help to ensure that the best cybersecurity decisions are made when the time comes to battle a breach.
See the original article Here.
Source:
Jacob D. (2017 August 25). 4 trends shaping cybersecurity in 2017 [Web blog post]. Retrieved from address https://www.benefitspro.com/2017/08/25/4-trends-shaping-cybersecurity-in-2017?ref=hp-in-depth&page_all=1
Self-funding and Voluntary Benefits: The Dynamic Insurance Duo
Did you know that self-funded health insurance and voluntary benefits can be a dream team when used in conjunction with each other? Check out this great article by Steve Horvath and Dan Johnson from Benefits Pro and find out how you can make the most of this dynamic insurance duo.
In an era of health care reform, double-digit rising health care costs, and plenty of “unknowns,” many employers view their benefit plans as a challenging blend of cost containment strategies and employee retention.
But perhaps they need to better understand the value of a little caped crusader named voluntary benefits.
Employers of all sizes share common goals when it comes to their benefits. They seek affordable, and quality benefits for their employees.
Some companies achieve these goals by cutting costs and going with a high-deductible, self-funded approach. While many associate self-funding with larger employers, in the current marketplace, it has become a viable option for companies across the board.
Especially when paired with a voluntary benefits offering supported by one-on-one communication or a call center, employers are able to cut costs and offer additional insurance options tailored to their employees’ needs. But there’s more.
Voluntary enrollments can help employers meet many different challenges, all of which tie back to cost-containment, streamlined processes and employee understanding and engagement. But before we explore solutions, let’s first understand why so many employers are going the self-funded route.
For most large and small employers, the costs of providing health care to employees and their families are significant and rising.
For companies who may be tight on money and are seeing their fully-insured premiums increase every year with little justification, self-funding serves as a great solution to keep their medical expenses down.
Self-funding: An overview
Self-funding allows employers to:
- Control health plan costs with pre-determined claims funding amounts to a medical plan account, without paying the profit margin of the insurance company.
- Protect their plan from catastrophic claims with stop-loss insurance that helps to pay for claims that exceed the amount set by their self-funded plan.
- Pay for medical claims the plan actually incurs, not the margin a fully insured plan underwrites into their premium, while protecting the plan with catastrophic loss coverage when large expenses are incurred. Plans may offer to share favorable savings with their employees through programs like premium holidays. These programs allow employee contributions to be waived for a period of time selected by the employer to reward employees for low utilization and adequate funding of their claims accounts and reserves.
- Take advantage of current and future year plan management guidance.
- Save on plan costs by using predictive analysis for health and wellness offered by the third-party administrator (TPA).
Beyond these advantages,self-funded plans may not be subject to all of the Affordable Care Act regulations as fully-insured plans, which is one of the reasons they provide a solution for controlling costs. Without these requirements, the plans can be tailored much more precisely to meet the needs of a specific employee group.
Boosting value: Advantages of adding voluntary benefits to a self-funded plan
Based on an employer’s specific benefit plan, and what it offers, employers are able to select voluntary benefits that can complement the plan and properly meet employees’ needs without adding extra costs to the plan.
Employees are then able to customize their own, personal benefit options even further based on their unique needs and available voluntary benefits.
This provides employees a myriad of benefits while also allowing them to account for out-of-pocket costs due to high-deductibles or plan changes, as well as provide long-term protection if the product is portable.
Voluntary solutions are about more than the products
Aside from the common falsehood that voluntary benefits are only about adding ‘gap fillers’ to your plan, you may be pleasantly surprised to learn that conducting a voluntary benefits enrollment can actually offer a number of services, solutions, and products, many of which may be currently unfamiliar to you.
Finding, and funding, a ben-admin solution
Some carriers offer the added bonus of helping employers install a benefits administration system in return for conducting a one-on-one or mandatory call center voluntary benefits enrollment.
The right benefits administration systems can help remove manual processes and allow HR to do what they do best—focus on employees and improving employee programs. No more headaches around changing coverage, change files to carriers, changing payroll-deductions or premiums.
Finding the benefits administration system that works best for your situation can make a big difference for your HR team.
Communication and engagement
Many employees are frustrated and scared about how changes to the insurance landscape will impact them. And with a recent survey noting that 95 percent of employees need someone to talk to for benefits information,1 they clearly are seeking ongoing communications and resources.
During the enrollment process, some carriers work with enrollment and communications companies who understand the employees’ benefit plan options and help guide them to the offerings that are best for them and their families.
At the same time, employers can enhance the communication and engagement efforts on other important corporate initiatives. For example, a client of ours increased employee participation in their high-deductible health plan (HDHP) via pre-communication.
Of the 90 percent of employees that went to the enrollment, nearly 70 percent said they were either likely or very likely to select the HDHP. Just a little bit of communication can go a long way toward employee understanding.
Providing education and engagement about both benefits and workplace initiatives increases the effectiveness of these programs and contributes to keeping costs down for employers. The more engagement employers generate, the healthier and better protected the employees.
Prioritizing health and wellness
Employers can also use the enrollment time with employees to remind them to get their annual exams. Many voluntary plans offer a wellness benefit (e.g. $50 or $100) to incentivize the employee and dependents.
The ROI for an employer’s health plan provides value as regular screenings can help detect health issues in the beginning stages so that proper health care management can begin and medical spend can be minimized.
Employers have also seized the opportunity of a benefits enrollment to implement a full-scale wellness program at reduced costs by aligning it with a voluntary benefits enrollment.
An effective wellness program will approach employee health from a whole-person view, recognizing its physical, social, emotional, financial and environmental dimensions. A properly implemented wellness program can ultimately make healthy actions possible for more of an employee population.
A formidable combination
What employers are seeking is simple -- quality benefits and a way to lower costs. With that in mind, offering a self-funded plan with complementary voluntary benefit products and solutions allows employers to take advantage of multiple opportunities while, at the same time, providing more options for their employees.
In today’s constantly changing landscape, self-funded plans paired with voluntary benefits is a formidable combination – a dynamic insurance duo.
See the original article Here.
Source:
Horvath S., Johnson D. (2016 November 23). Self-funding and voluntary benefits: the dynamic insurance duo [Web blog post]. Retrieved from address https://www.benefitspro.com/2016/11/23/self-funding-and-voluntary-benefits-the-dynamic-in?page_all=1