Top Open Enrollment Challenges and How to Overcome Them
It’s no secret that open enrollment comes with challenges for employees and employers. More than 50% of Americans with access to workplace benefits through their employer regret the choices they made during last year’s open enrollment period because they did not adjust their benefits to match their lifestyle changes, forgot to make their selections by the deadline, or did not understand the options available.
Employers must balance rising healthcare costs, complex benefit offerings, and regulatory requirements while ensuring employees understand and engage with their options. But open enrollment doesn’t have to be just a checkbox that needs to be ticked; it can be your chance to engage employees, maximize benefits, and strengthen your organization. Strategic planning and personalized communication can transform open enrollment season from routine to a catalyst for success.
Don’t let the opportunity pass; make open enrollment work better for your employees and your business.
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Help Employees Understand Their BenefitsOne of the biggest challenges during open enrollment is the complexity of benefits. Many employees struggle to understand the differences between plan types, coverage levels, and associated costs. High-deductible health plans (HDHPs), Health Savings Accounts (HSAs), flexible spending accounts (FSAs), and voluntary benefits add layers of complexity that can be overwhelming. Employees who don’t fully understand their options may choose plans that are not cost-effective or do not meet their needs, which can lead to dissatisfaction and financial strain. How to Do It:Employers can simplify the enrollment process by offering clear, concise communications.
By breaking down complex information into easy-to-digest formats, employers can reduce confusion and empower employees to make informed decisions. |
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Increasing Employee Engagement During Open EnrollmentEven when resources are available, employee engagement can be a significant barrier. Many employees only pay attention to open enrollment communications when forced to, leading to uninformed decisions or missed deadlines. Lack of engagement can also result in underutilization of voluntary benefits or wellness programs, reducing the overall value of the benefits package. How to Do It:Engagement strategies should start well before open enrollment begins. Employers can implement multi-channel communication campaigns, including emails, virtual Q&A sessions, and on-site meetings. Gamification techniques, like quizzes or incentives for completing benefit education modules, can boost participation. Extending communications beyond the traditional two-week enrollment period is essential as it gives employees more time to understand and consider their options. |
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Encouraging Greater Use of Mental Health and Wellness SupportThe past few years have highlighted the importance of mental health benefits. Yet, employees often struggle to understand and access mental health resources, particularly if they are concerned about costs or confidentiality. Low utilization of mental health benefits can affect employee productivity, engagement, and overall well-being. How to Do It:Employers can increase mental health benefit engagement by clearly communicating available resources and coverage options. Make sure employees know about virtual mental health services, employee assistance programs (EAPs), and wellness initiatives that provide flexible, accessible support. Employers should also address financial barriers, such as co-pays and deductibles, to ensure employees feel confident using these benefits. |
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Helping Employees Understand the Value of Their BenefitsEven when employees have robust benefits, they may not recognize the full value of their coverage. Employees often undervalue preventive care, voluntary benefits, and wellness programs, leading to underutilization and dissatisfaction. How to Do It:Employers should emphasize the total value of benefits, not just premiums or out-of-pocket costs. Tools like personalized benefit statements, cost calculators, and success stories can demonstrate how benefits support employees’ health, financial security, and work-life balance. Continuous education and communication throughout the year, not just during open enrollment, can reinforce the value of benefits and increase engagement. |
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Supporting a Diverse WorkforceA one-size-fits-all approach rarely meets the needs of a diverse workforce. Employees may have different healthcare needs, financial situations, languages, or cultural preferences. Without tailored support, some employees may struggle to navigate their options or make informed decisions. How to Do It:Employers should offer benefits communications in multiple formats and languages, provide culturally competent resources, and ensure selection tools account for varying family structures and health needs. Personalized support, whether through digital tools or HR representatives, can help employees feel confident in their benefit decisions. |
How The Alliance Can Help
Navigating open enrollment challenges requires careful planning, clear communication, and innovative strategies. The Alliance partners with employers to simplify benefit plan design, enhance employee engagement, and manage costs effectively.
From providing innovative strategies that guide employees to high-value healthcare to offering data-driven insights and personalized support, The Alliance helps employers design benefit plans that meet the unique needs of their workforce. Beyond open enrollment, The Alliance continues to support employers in managing healthcare spend, improving employee wellbeing, and optimizing benefit strategies year-round.
Reach out to your Account Executive for resources to help your employees get the most value out of their benefits.
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Gretchen Shea
Account Executive
Gretchen Shea joined The Alliance in 2024 as an Account Executive. She has 12 years of experience in the healthcare industry working at United Health Care Sales and WPS, most recently as an Account Manager.
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