Employee Benefits 101
An employee benefit program can be an integral component of your overall employee compensation strategy. Additionally, it can help with the attraction of future, and the retention of current, employees.
A survey by Sanofi-Aventis noted that 63% of employees think more positively about their employers because of their health plan and 61% confirmed that their health plan is a strong incentive to stay with their current employer.
The same survey confirmed the perceived value of a benefit plan when it noted that 59% of respondents would choose an employee benefit program over a $10,000 raise!
Employee benefit plans are no longer packaged products. The flexibility in plan design is a key feature and allows an employer the opportunity to create a program that is specific to the needs of their employee group. This flexibility includes the ability to create different classes for the employees and the option of providing different benefits for each class.
A well planned, implemented and managed employee benefit program will ensure a happy, healthy and engaged workforce.
Review the following plan options:
- One Employee Plan
- Two Employee Plan
- Three or More Plan
- Alternative Funding Options
- Health Care Spending Account
Keys to a Successful Program
The keys to a successful employee benefit program include:
- Effective communication – between the insurer and the employer, and the employer and their employees.
- Ease of use – electronic claim submission for drug, dental and some healthcare claims have made claims reimbursement faster and more convenient than ever.
- Ease of administration – electronic administration of employee enrolment, termination and information changes, along with detailed electronic billings and automatic premium payment has helped to ease the burden on plan administrators.
- Plan Design – a comprehensive plan design is a must. Employees expect a program that will provide a broad array of health and dental benefits.
- Cost containment – a comprehensive plan design includes elements to reduce current premium while utilizing measures to help contain claims costs in the future.
- Value – both the employer and the employee must feel they are getting good value for their premium dollars. This is accomplished by implementing a comprehensive program at a reasonable cost.
- Rate Stability – with good planning, wide fluctuations in premium charges can be mitigated.
- Good advice – rely on the experience of Employee Benefit Solutions to help implement these keys for a successful employee benefit plan.