5 Reasons You Should Educate Employees on their Benefit Plans

Education, especially when it comes to understanding¬†one’s health benefits, is extremely important. How else will your employees be able to appreciate the value of having a company benefits plan if they don’t know how it works?

Here are 5 reasons you should educate employees on their benefit plans.

1. Appreciate the Value of Having a Company Sponsored Health Plan

Not all employers offer health benefits, but most employees are looking for companies that do. Health and wellness is a huge part of the workplace today and it can greatly improve company culture. By explaining to employees the different benefit plans offered, it can help them appreciate having access to coverage in the first place.

2. Understand How Their Plans Work

Having access to health insurance is great, but not understanding how to use those benefits is a big problem. It’s important to educate employees on how their health plans work so that they can take full advantage of the different services included such as free annual physical exams that are covered under preventative care. If they understand what’s included with their plan and where they are covered, they may be more likely to use it.

3. Identifying the Right Plans for Their Needs

Many employees have different health needs and have a lot of questions regarding which plans are right for them, their family, and their budget. We sit down with employees and answer these questions so we can help them make the right choice depending on their needs. We also explain that the employer took their needs into consideration when selecting plan options for their employees so that no matter what, they are in good hands.

4. Understanding the Terminology

Health Insurance is often seen as complicated and confusing. By educating your employees on the common terminology so they understand the difference between a PPO or an HMO and in-network vs. out-of-network, they may feel more comfortable understanding how to read the plan benefits. We help explain the elements of the plan that matter most to the employees such as provider networks, annual out of pocket max for individuals and families, and more.

5. Explain Who’s Paying

Offering health insurance to employees is a huge benefit to the employee, but it can certainly increase costs for the employer. When educating employees on their benefits, make sure to explain the difference between the employee premium and how much the employer is contributing to their premium. This helps employees understand the valuable benefit that the employer is providing.

To really help employees feel comfortable with their benefit plans, we strongly suggest providing ongoing education throughout the year (not just during enrollment periods). This keeps them engaged in the conversation, interested in the value of their benefits, and it’s a great reminder to take advantage of their coverage that they may forget they have.

Need help communicating these benefits to your employees? Contact us so we can sit down with them.

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