Open enrollment is that crucial season when employees and individuals can enroll in, renew, or change their health insurance plan. Yet year after year, most people rush through it or skip the details entirely.
Research shows nearly 70% of benefits-eligible employees spend 30 minutes or less reviewing their options. On top of that, almost 90% default to the same plan they had from the previous year. And while healthcare is complicated, the documents are dense, and life is just plain busy, these choices have long-term consequences for both employees and employers.
That’s why preparation can mean the difference between a plan that actually supports someone’s life and one that falls short when it matters most. But that prep is important for both sides of the equation.
For Employers: Make Benefits Clear and Human
- Simplicity is key. Employees don’t need a 40-page PDF to make a choice. Break down the essentials: premiums, deductibles, copays, and what’s actually covered.
- Offer real-life examples. Instead of just numbers on a page, show how different plans might look for a single employee, a parent with kids, or someone managing a chronic condition.
- Communicate early and often. One of the biggest open enrollment challenges employers face is simply getting their workers to pay attention in the first place. In fact, surveys show that only about 55% of employees say they fully understand their benefits. That gap leaves a lot of room for confusion and poor decision-making.
- Connect the dots. Benefits leaders who frame benefits as part of overall well-being – not just insurance – see higher engagement. A recent survey found that employees who feel their employer cares about their overall health are three times more likely to stay with that company. That’s a retention strategy hiding in plain sight.
- Meet people where they’re at. Some employees want a quick explainer video, others prefer a one-on-one Q&A. A mix of formats helps everyone access the information they need.
For Employees: Don’t just “Click to Renew”
- Review last year’s usage. Did you visit the doctor often? Fill multiple prescriptions? Have a major procedure? Look at your spending patterns before choosing again.
- Compare more than premiums. The lowest monthly cost doesn’t always mean the best plan. Deductibles, copays, and out-of-pocket maximums can add up fast.
- Look at what’s new. New benefits are often added each and every year – from telehealth coverage to networks of providers. Hitting auto-renew means you might be missing out on new features or changes.
- Ask questions. Confused by the terminology? Not sure how one plan stacks against another? Take advantage of HR, benefits hotlines, or third-party resources before you lock in a choice.
- Ask more questions. See above. But really, don’t be afraid to ask, and ask again!
When open enrollment is seen as just another HR task – whether it’s by employers or employees – the consequences can impact your health, your future, and your wallet. Employers have a responsibility to guide their teams with clarity, and employees owe it to themselves and their families to take the time. You wouldn’t plan a wedding, buy a car, or even pick a fantasy football team in half an hour. Don’t treat your health insurance like it’s less important.