Are Brokers Prepared For The New Benefits Model Employers And Employees Want?

It’s about total well-being now: A challenge and opportunity for brokers

It’s time to face facts: The traditional, outdated employee benefits experience is on its way out. It’s a train that’s been coming down the tracks for a few years. Now, the ramifications of the Covid-19 pandemic have sent the demand for a new benefits model barreling forward with no turning back. Many employers have either gotten on board or are looking at their options.

For brokers, this transformation represents a huge challenge and a great opportunity. It's another wake-up call for brokers to be more informed about the changes that benefits technology vendors are making in response to the new kind of user experience, breadth of products, and support that employers and their workforces are demanding. 
 

Being armed with this kind of knowledge is the only way for benefits brokers and consultants to pivot and adapt — to continue being a trusted advisor, expand wallet share, and gain new clients.

What are we talking about, exactly?

We’re talking about HR systems being reimagined around the needs of the employee rather than around HR functions — or even around medical benefits. Out of practical necessity, employers and employees expect a more holistic, simplified benefits experience. Organizations are searching for technology platforms that put the employee needs at the center. Of course, medical benefits are still the engine driving the train when it comes to planning design, costs, and utilization. None of that will change anytime soon. What is changing, and changing rapidly, is the employee experience — a shift toward bringing more benefits front and center to more easily meet all of the needs of an employee’s wellness journey.

And we’re not talking only about the employee portal and user experience. We’re talking about the actual products being offered. The pandemic has intensified the efforts of many larger organizations to experiment with broader portfolios of benefits and tools for physical and mental well-being. You might think of these as voluntary or worksite benefits. But the lines between the solution categories of employees’ benefits have blurred as the new model for delivering a whole-employee experience picks up steam. 

And that model runs on a new kind of technology. It demands a platform that can handle the complexity of this modernized, whole-employee approach to benefits — and handle it well — because the stakes are higher than ever before. 
 
Employer investment in employee well-being rose over 500% in 2020 compared with 2019, according to an analysis of the employee well-being landscape by The Starr Conspiracy, the B2B marketing agency dedicated to workplace solutions. New benefits today run a huge gamut:
 

• Flexibility of workplace and hours
• Support for nontraditional and multigenerational families
• Student loan repayment
• Financial planning and counseling for all employees
• Lifestyle flexibility
• Lifestyle benefits, like subprime loans through employers 
• Identifying and having a voice in a company’s values and mission — two-way communication
• Community focus

And while most employers are adding more whole-employee voluntary benefits, they’re struggling to find the technology and services that can accommodate the elevated levels of complexity that accompany this modernized approach to benefits.  

Want to Stay Competitive? Prepare to Come to the Rescue

The modernized employee benefits experience gives brokers a huge opportunity to keep their current clients, expand wallet share, and add a new business. How? By being the hero who ensures employers don’t get stuck on the tracks while struggling with all of the options among technology, benefits, and services that the new benefits model demands — and that will meet their organization’s needs, engage their employees, and fit their budget. 

And despite all we’ve said about voluntary benefits rapidly becoming a foundational component of the employee experience, the company culture, and the product lineup, communication remains a huge hurdle for employers. The new holistic benefits model will, in fact, make it even harder for employers to communicate benefits in a cohesive and understandable way. And as you know, without the right communication delivered to the right people at the right time, the odds that any program or initiative will gain traction drop significantly. 

The point here is that staying competitive is not only about having a partner with the technology that can tactically support and drive the new employee benefits experience (as important as that is). Nor is it only about an optimal lineup of holistic benefits. A company also needs a strategy and technology for communication that empowers HR to effectively communicate these benefits improvements in a cohesive, understandable fashion, ultimately earning employees’ trust and loyalty.

In short, brokers need a partner in the world of benefits administration technology and employee engagement that meets four critical criteria:
 

1. The technology to handle the complexities of a holistic, employee-centric benefit offering.
2. A lineup of readily accessible products that provide organizations with the flexibility to deliver a modernized benefits experience.
3. An integrated communication solution that engages employees and ensures ROI.
4. A service component that constantly supports all three of those points.

It’s a rare four-point combination in the world of employee benefits and engagement software. But it’s out there. Here’s a little bit of what to look for in each of those four areas.

Technology — Look for a solution provider that has years of experience managing complex benefits plans, rating configurations, and underwriting provisions. Then, be sure they have the capabilities to meet the increasing demand for API connectivity — a critical technology element that opens the door to new ways of meeting the complex demands of this new employee experience. Simply put, look for a technology provider with a proven track record of  established API connectivity with other stakeholders in the benefits ecosystem. Imagine the difference for you and your clients with a technology provider that has the power to connect to literally anyone in the ecosystem, ensuring access to best-in-class software components without having to replace or even consider the costly route of transitioning to an entirely new platform.

This is a critical attribute for brokers that aim to offer their clients the most efficient, accurate, and impactful form of the new employee benefits experience.

Products — Look for a solution provider that offers an extensive inventory of plug-and-play core and voluntary products. Equally important, consider a vendor that has an established track record of carrier integrations and a strong history of trusted file feeds — readily available within the platform. This will help reduce hassles, headaches, and compliance risks for employers. 

Communication — Search out a solution vendor that empowers employers to connect with their employees — really connect. After all, half of all employees are either unsatisfied or only partially satisfied with their current benefits. Look for a solution vendor that has integrated engagement software to create impactful, personalized enrollment experiences. This is key to help companies clearly convey the value of their offerings through a seamless and educational enrollment experience.

Service — Make sure your technology partner has a first-class, highly experienced, and dedicated team of service experts who work with your clients from setup through implementation and beyond. Also, be sure their service extends beyond supporting the HR team. Look for a technology partner that delivers a 24/7/365 online experience for employees that’s accessible from any device — without requiring an app or download. 

It’s not easy finding a partner that will have all four of those trains running smoothly from the same platform. Many vendors of benefits administration technology may be strong in one or more of those four critical areas. Some employee engagement solutions will handle communication admirably. But brokers need a partner with all four pieces of the modernized employee benefits experience covered — if they want to position themselves as a trusted advisor capable of delivering client satisfaction and greater ROI.    

Craig Stephens is Vice President of Sales at Selerix. Craig joined Selerix in 2007, bringing to the company more than 20 years of experience in sales in the healthcare industry. He previously was a four-state regional sales director for Express Scripts, where over 11 years, Craig developed new business among third-party administrators, brokers, and consultants.  Connect Craig Stephens Follow @SelerixSystems