News & Information

 

FEATURED PRODUCT

5500 Preparer's Manual for 2012 Plan Years
The premier resource in the field of Form 5500 preparation, 5500 Preparer's Manual will help you handle the required annual Form 5500 filings for both pension benefits and welfare benefit plans.

Learn More »

CCH® BENEFITS — 11/11/11

Majority Of Employees Enroll For Benefits Online

from Spencer’s Benefits Reports: Sixty-two percent of workers now enroll online for their employee benefits, compared to only 29% in 2005, according to the Guardian Life Insurance Company of America. In the past year alone, the use of online benefits enrollment increased by eight percentage points, which represents a significant shift in how employees learn about, evaluate, and interact with their benefits programs.

The study also offers generational insights regarding employee preferences related to benefit platforms. While Millennials are generally perceived as the generation that would overwhelmingly prefer to evaluate benefit offerings through online platforms, in effect, a majority of all workers (54%) indicated that a consolidated web portal would help employees appreciate the value of available benefits more effectively.

“Our research indicates a substantial shift in attitudes, needs, and technology behaviors among all generations of workers. As such, employers are beginning to adapt to these changing dynamics by offering benefit packages through online interfaces that streamline the learning and evaluation process for all of their workers,” said Elena Wu, vice president of group insurance for Guardian.

Given the complexity of benefits evaluation and the identification of the most appropriate offerings, employees have expressed a strong need for simplification. In fact, a majority of workers (56%), regardless of age or educational level, believe a single, consolidated web-based platform that integrates all of their benefits allows them to better comprehend and consider their insurance options, make selections, and appreciate the value of benefits available to them.

“Understanding the most appropriate benefit mix is critically important for workers when making such significant decisions” added Ms. Wu. “Consequently, providers and employers must offer employees the most seamless and convenient way to engage with their benefit options to fully and accurately comprehend their offerings and evaluate their needs.”

Additional key findings include the following:

• In general, workers prefer online enrollment over an offline or a paper process. Nine out of ten workers surveyed (91%) rate their online enrollment experience as “very easy”compared to 78% of those using paper;
• Employees cite the following top reasons for preferring online benefits enrollment: convenience (89%), time savings (85%), good for the environment (78%); and
• Sixty percent of both Millennial and Gen X respondents indicated that a consolidated benefits web portal would improve employees’ ability to better appreciate the value of available benefits.

For more information, visit http://www.GuardianLife.com.

For more information on this and related topics, consult the CCH Pension Plan Guide, CCH Employee Benefits Management, and Spencer's Benefits Reports.

Visit our News Library to read more news stories.