Self-funded health plans have their share of benefits, including flexible coverage, avoiding the additional costs of fully insured plans, and potential cost savings, as they only pay for claims when they’re received. However, these plans can be complex, require extra administrative work, and can be financially risky if a big claim comes in.
In the end, self-funded plans can be the best option for many businesses. For businesses with self-funded health plans – or those who are interested in such – there are enrollment firm solutions for you to take advantage of. Read on to learn more about self-funded health plans and their automated solutions.
The Challenges of Enrolling in Self-Funded Plans
While employers have greater control over benefits when they have self-funded health plans, they also pose unique challenges.
Challenges of self-funded plans include stricter compliance responsibility, budgeting problems, and the need to integrate multiple systems. Plus, employers and employees are more likely to be confused with self-funded plans as they’re more complicated.
What is more, if a self-funded plan isn’t well communicated, employees may be less likely to enroll. Without a good enrollment turnout, employers won’t receive the advantages of offering their staff a health plan, such as improved staff retention and on-the-job satisfaction.
Based on these challenges, it’s clear that employers offering self-funded plans may need additional support – in this case, from an enrollment firm.
Solutions for Small and Mid-Sized Companies
There are many solutions both small and mid-sized companies could benefit from when working with an enrollment firm.
Enrollment firms offer solutions such as:
- Customizable online portals
- Flexible benefit offerings
- Reporting and analytics
- Clear communication with employees
- Support for employees who need extra help
- Compliance accuracy
- Benefit selection integration with insurance carriers and payroll
How Simplified Enrollment Takes the Burden off Administration
Due to the challenges of self-funded plan enrollment, many business owners are choosing to simplify the process with an automated solution through an enrollment firm.
Automated enrollment systems can reduce the heavy burden on administrative staff in many ways. These systems can eliminate manual paperwork, make communication clearer, and keep all data in one place. With fewer involvement of administrative staff, this can give them more time and energy to focus on other important tasks.
Saving Money with Streamlined Enrollment
Automated enrollment solutions from an enrollment firm can also lead to significant savings for employers. This means they can reduce the labor cost on their internal administrative staff, deal with fewer costly errors, and reduce their material costs as the enrollment process goes from paperwork to a digital interface.
Employers can also save money in the long run. Streamlined enrollment means more employees will enroll in their benefits program. In turn, with more enrollment, staff are more likely to stick with the company, which can save the company from needing to engage in costly training when hiring new staff.
Outsourcing Enrollment as a Self-Funded Employer
Offering self-funded health plans can be beneficial, but it’s not without its drawbacks. From being more complicated to being harder to implement, let alone understand, some employers may attempt to steer clear of this type of plan altogether.
Rather than throwing in the towel, self-funded employers should consider outsourcing their enrollment. This way, they can offer the benefits they want without the extra headache and responsibility.
Ready to outsource your enrollment? Call Employee Retention Benefits today to learn more about the specific solutions we offer.
