The IRS states that a qualifying event must have an impact on your insurance needs or change what health insurance plans that you qualify for. Need help with a specific HR issue like coronavirus or FLSA? As the Director of Client Services at FBS, Cathy oversees the Billing, Clent Service, and Account Executive teams and is available to assist in escalated matters, if necessary. Unless youre a financial expert or HR professional, figuring out retirement plans is no walk in the park. SAMPLE EVERGREEN OPEN ENROLLMENT NOTICE . Hire, onboard, manage, and develop productive employees. Home Sending out the open enrollment email to employees is just the first step. Provide information in a wide variety of ways including: Ask your employees if they like the way information is being provided, if they would prefer information be distributed in different ways, or if they have questions that have yet to be answered. Open enrollment begins one month from now, beginning [DATE] until [DATE]. If employees do miss open enrollment, provide opportunities for them to meet with HR or attend informational meetings that discuss their options to obtain coverage for the next year. To help employees meet open enrollment deadlines, consider implementing internal company deadlines that build in a safety net. Employees digest information in different ways. Hi team, Putting money away for your retirement is important, but how important depends on the financial . Bretton Chatham At this point, there is not much more that you can do for him or her unless he or she qualifies for an SEP. When employees miss open enrollment and lose health coverage, this can add financial and emotional burdens that may affect their health, well-being, and productivity at work. The open enrollment survey questions you ask largely will depend on the goals you are trying to measure. She encourages employees to ask themselves the following questions to be sure they are making the best choices for themselves and their families during the year ahead: "If you answered 'yes' or you're not sure about the answers to these questions now is the perfect time to revisit your benefits. He currently serves as the benefit consultant for several of the FBS Benefit Co-Operatives and many standalone school districts. What Is a Dependent Care FSA and How Does It Work? Surveying your employees will help you clarify benefits options and the open enrollment process, demonstrate your willingness to set aside time to help answer their questions, and potentially reduce the number of employees that miss open enrollment. Howevereven when it's for their benefit(s)your priorities are not always their priorities, and some workers may put it off, thinking they'll have more time to ask questions and get clarification later. Track employee time and maximize payroll accuracy. Tips for writing a professional excuse email. Has my employer made changes to its current benefits plan? . So, for Joan, it makes sense to fund her 401K up to the company match and beyond, as much as she can afford. Think of it as an invitation. Here's what can happen and how HR can help. If you are looking for help with your current system, or think it may be time to enhance your benefits package, contact us to talk to a consultant. Common qualifying life events include: Changes in marital status . ** ALL OPTION CHANGES WILL BECOME EFFECTIVE JANUARY 1, 2020** The period from DECEMBER 11, 2019 through JANUARY 10, 2020 has been designated as the Annual Open Enrollment period during which employees who desire to change their health and/or dental insurance Effective communication to employees can sometimes be a moving target. HR teams in larger companies may even conduct special meetings or hold benefits fairs, all designed to help employees understand their benefits options so they can make informed decisions. Make Time for Employees Who Missed Open Enrollment. Mistakes happen -- and it happens more than it probably should when people are choosing health insurance. If your organization doesn't offer auto-enrollment, then workers who miss the window may be left out in the cold without any coverage. Relocation - Moving won't always affect your eligibility, but sometimes moving to a new home address or a new work site can, especially if it's in a new state with different regulations. Request a consultation, so we discuss your payroll management and HR optimization needs. Communicating potential consequences to employees will encourage them to take the open enrollment deadline more seriously. , they can enroll at any time, all year long. Regardless of the reason, this common situation can result in added financial burden on the employee, additional missed days at work due to lack of proper health coverage, and frustration for both employee and employer. After open enrollment ends, you can only make changes to your elections if you've experienced a qualifying life event. I realize that you, too, need to meet your monthly obligations in a timely manner, and such delays do not help. Individuals who are in transition may qualify to register for a short-term insurance plan if offered in their state. When looking into the issue, work with the employee and the health insurance broker to make sure there wasnt an administrative error. Sushma Tripathi, vice president of strategic advisory services at ADP, an HR management software and services provider, offered the following starter questions HR can ask to engage employees during open enrollment. Regularly educating employees: Providing multiple information channels during open enrollment can ensure that employees are well-informed and have the resources to make decisions about their benefits. Why? [Instructions or refer to additional resources]. So, if you find yourself surprised by a premium increase come January, you won't be able to change coverage. Sample 1: Excuse letter for work absence due to family matters. Writing a good job rejection letter is not as hard as you think it is! document.write(new Date().getFullYear()); ", 2. If youre truly invested in helping your employees not only plan for retirement, but also create savings and dig out of debt, offer education in the moments that matter: Reiterate your 401K messaging whenever employees get a raise, bonus, or promotion. And if you have any questions or are uncertain about anything in the process, contact your HR department - they'll help you navigate the open enrollment steps and clarify anything you don't understand. Remind employees they will receive a confirmation of their changes. He is a graduate of Texas Tech University holds many different licenses in the insurance industry including the Insurance Counselors License through the Texas Department of Insurance. When it comes to your open enrollment elections, the best thing you can do is take your time and be thorough to minimize the chance of making mistakes. The email is simply an introduction. You can get your own copy here. Now What? Everything You Need Is Inside! HR processes need to be in place as a standard business practice. Privacy Policy Joan has a few thousand dollars saved for emergencies and no high-interest credit card debt. (Feel free to copy-pastewe won't tell.) SHRM's HR Knowledge Advisors offer guidance and resources to assist members with their HR inquiries. Find the latest news and members-only resources that can help employers navigate in an uncertain economy. We do not sell internationally. Please enable scripts and reload this page. Client Testimonials Open enrollment can be an extremely stressful and overwhelming time for both you and your employees. Access exclusive research and insights on the future of employee benefits. Here are the key components of the email. Format for absence excuse letter. $(document).ready(function () { Make a corrective contribution to the plan for the employees that compensates for their missed deferral opportunity. Employees who experience qualifying life-changing events (such as getting married, divorced or legally separated, having or adopting a child, or moving to a new residence or work location that affects benefits eligibility) are eligible to enroll in or make changes to their benefits elections outside of the open enrollment period. Open with an engaging subject line and immediately set a positive tone. ", "Americans tend to miss the mark when they stick with what they were doing before without double-checking their assumptions," said Kelley Long, a member of the AICPA Consumer Financial Education Advocates panel. The open enrollment announcement email should go out two weeks before your benefits packages are made available to employees. This can cause important ones like open enrollment to fall through the cracks or simply be skimmed so they can move on to the next thing. Think about it your employees are a unique set of people with their own needs, life circumstances and goals. This is the time for you to [Instructions], Were excited to bring you [Detail plan options and info]. Consider creating an email template. 2023 FSA Store Inc. All Rights Reserved. Therefore, your open enrollment for the new year will take place in October. As an employer, you may be faced with administrative burdens and unhappy or unproductive employees. Please purchase a SHRM membership before saving bookmarks. The point of offering healthcare employee benefits for employees is to ensure that they are properly cared for. 1.) Legally, employers are not required to do anything for employees who have missed the open enrollment deadline. Why Send an Open Enrollment Email to Employees? At many organizations, the open enrollment season for 2020 employer-sponsored benefits is under way or about to begin. You want to give your employer time to reassign any of your tasks. As a result, your employees can latch on to the situation closest to their own, and feel more confident in their choices. Were sharing some sample 401K communication to employees that you can use to get your message across. Ensure they know exactly what theyre supposed to do next. This will give you the ability to answer any lingering questions from employees and build in extra time for those who are apt to miss deadlines, without placing any extra burdens on your HR team.. Surveying your employees will help you clarify their benefits options and the open enrollment process, and it can demonstrate that you are willing to set aside time to help answer employee questionspotentially reducing the number of employees that miss open enrollment. Even with weeks of communication in advance, employees may report that they missed open enrollment at work. 2. Missing open enrollment means limited options, but here a few situations to consider: If an employee misses open enrollment, its important that HR first respond with empathy and understanding. Let's use a fall open enrollment as an example. Here's what this kind of targeted advice might look like in an email you send to your workforce. Dear Employee, The School District's Health Insurance open enrollment period for the INSERT year will begin on INSERT DATE. But why stop there? Paychex tiene el compromiso de brindar recursos para la comunidad hispanohablante. If you have not defined any specific goals, then start by focusing on the enrollment experience as a whole, for example what did your employees like and what do they want to be different for next year. FBS Blog In fact, there's a good chance that the terms of your employer's benefit plan don't allow any exceptions or changes for employees who make mistakes or miss the open enrollment period altogether. } If appropriate coverage is offered to employees (regardless of whether they enroll) these employers will not be subject to the penalty. You can also take an email communication and post it to the employee portal on your website. Business Associate Agreement The deadline to make any changes will be [DATE]. Here are a few different scenarios you might find yourself in, and some advice for how to approach your 401K. Managing Organizational Communication]. Build specialized knowledge and expand your influence by earning a SHRM Specialty Credential. Open enrollment consumes a large amount of HR's time and energy, making it nearly impossible to forget about. When writing an open enrollment letter, here are 5 things you should include: Timing: Open enrollment periods are often only a few weeks long. Also, remember the source of information. By 'setting and forgetting' a benefit plan, you not only run the risk of getting stuck in one that isn't right for you, but also one that costs you extra. But if not enough people participate in the program, the company may also not see the benefits. Para garantizar que brindemos la informacin ms actualizada y de mayor precisin, algunos contenidos de este sitio web se mostrarn en ingls y los proporcionaremos en espaol una vez que estn disponibles. Her past insurance experience includes roles as Marketing Supervisor, Account Management, and Account Executive at one of the largest insurance carriers of some of the largest employers in the state of Texas. Following this time frame, your open enrollment email to employees would go out in mid-September. Include with your email any attachments related to open enrollment. The UCPath Center mailed an Open Enrollment notice and Open Enrollment Form to employees who were on an unpaid leave of absence as of September 30, 2021. Cathy has been in the insurance industry for 28 years. The information may not reflect the most current legal developments, may be changed without notice and is not guaranteed to be complete, correct, or up-to-date. Employees are befuddled by their health care coverage. Whatever the case, if you made a mistake during open enrollment, you're probably wondering if there's a way to make changes to your elections later on in the year. In. These employers must offer affordable, minimum-essential coverage to their full-time employees or potentially face the employer shared responsibility penalty. A special enrollment period is a designated time outside of the standard open enrollment period for employees to change or update their insurance plan elections that are granted when the employee experiences a qualifying life event. Here we have provided you with a template for your open enrollment email to employees. Category. But how do you make sure your benefits communication strategy is up to par? The first step in achieving this is to provide as much information as possible in many different forms, such as flyers, posters, emails and videos. Open Enrollment Email to Employees (Templates). Make it easy on you and your team by taking advantage of our action plan and timeline. If you miss the open enrollment period, you won't be able to enroll in a plan unless you have a qualifying event (such as getting married, having a baby or losing employer-sponsored coverage). Please note that all such forms and policies should be reviewed by your legal counsel for compliance with applicable law, and should be modified to suit your organizations culture, industry, and practices. Karen Frost, health strategy and solutions leader at Alight Solutions, a benefit administration company, offered these pointers to HR benefit managers for open enrollment and throughout the year: Employers Enhance Emotional and Mental Health Benefits for 2020, Why? Please let us know if you have questions! You could have misread a question, been forced to rush through the process, or even miscalculated how much money would be coming out of your paycheck every week. We endeavor to answer all inquiries within 24 hours on business days. The attachments can include: Getting essential information to employees is vital but shouldnt overwhelm the employee. Be sure to include these details in your letter. If an employee missed open enrollment at work, they are generally no longer eligible to sign up for benefits unless one of a few special exceptions applies. It often brings many questions and can be stressful on both sides of the communication flow. Open Enrollment is your annual opportunity to review your benefit plan options and make . Depending on who the healthcare plan provider is, there may be contractual agreements that do not allow for enrollment . Please submit questions related to Open Enrollment for your employees on leave to Service Now > Leave Administration > Other Leave Questions. Posted on December 9, 2021 Additional education can come in the form of personal worksite consultations, one-on-one appointments with HR representatives, seminars, webinars and self-paced e-learning modules. Did the employee miss open enrollment because of. Get a demo of the ALEX platform and learn more about how our software can help you boost benefits engagement, drive better financial decisions, and save your team time, money, and headaches. Comprehensive coverage for your business, property, and employees. The open enrollment announcement email should go out two weeks before your benefits packages are made available to employees. Get the cold and allergy relief you deserve. Here's what to expect: Changes in marital status - Getting married, divorced, separated, or if your spouse passes away. And because theres a limited amount of time to make these important decisions, it can be a confusing (and often overwhelming) experience for employers and employees alike. Attached is a flier with more details but please reply here and let us know if you have questions! All rights reserved. In order to ensure that none of our employees in this status were missed by the cutoff date,HR Leave Administration will email an Open Enrollment reminder this week to allemployees currently on a leave of absence regardless of pay status. To avoid these penalties, document that coverage has been offered by requiring employees to sign either: To help your employees make the most out of the open enrollment period and the benefits your company provides, consider implementing the following strategies: Offering benefits education to your employees prior to and during the open enrollment period can help minimize confusion and cut down on time spent addressing commonly asked questions. What Happens If an Employee Misses Open Enrollment? To learn more, schedule a consultation with one of our knowledgeable business advisors. If an employee misses . To qualify, individuals must have experienced a loss in permanent coverage due to a job change, layoff, becoming a college student, or missing open enrollment. If the employee does not make an election in the required time frame the Plan Document calls for a default position to take effect in lieu of the election. Surveying your employees will help you clarify their benefits options and the open enrollment process, and it can demonstrate that you are willing to set aside time to help answer employee questionspotentially reducing the number of employees that miss open enrollment. 360 Degrees of Financial Literacy program by the American Institute of CPAs (AICPA) is urging employees to carefully review their family's financial situation and insurance options to pick the best coverage plan for their household. Although many of these suggestions are not legal requirements, it is in your best interest to take these steps in order to protect your business and its productivity. Share links to reputable personal finance blogs and podcasts. The date coverage starts depends on when you lose coverage and the date a plan is selected. Changes made at open enrollment are effective January 1, 2023. Deadline to enroll for insurance to start Jan 1 is Dec 15. Earn FSA Perks Points, unlock member-only rewards, and speed up the checkout process. 2175 N. Glenville Drive Benefit Cooperatives So, open enrollment can easily pass some by. Remember, this is a guide to get you thinking about your message to employees. The Covered Connecticut program allows eligible applicants to enroll anytime. Why? The dates give your human resources department time to process and review employee elections and send them to the benefits providers. Please let us know if you have questions by replying to this email! Pick A Theme Lose the stiff, corporate lingo and put a little fun back into open enrollment. Start reviewing your benefit information now so youre ready when the time is right. Thank them in advance for doing their part to make this a successful open enrollment. Virtual & Washington, DC | February 26-28, 2023. [Insert link to benefits portal and instructions]. Keep it brief. The benefits open enrollment period is typically the only point during the year in which your employees can make changes to their benefit electionsincluding adding or dropping coverage or dependents, switching plans, or even enrolling in benefits for the first time. Please log in as a SHRM member before saving bookmarks. Depending on your circumstances, your opportunities to enroll after the end of the annual open enrollment period may be limited. Did I pay out-of-pocket expenses this year that could be covered by an insurance option next year? Example #3: Greg, Whos Got a Safety Net, But Whos Saddled With Lots of High-Interest Debt. var currentUrl = window.location.href.toLowerCase(); SHRM Employment Law & Compliance Conference, stress their importance and provide education on how to properly use them, digital apps and online portals with built-in decision support, Employers Enhance Emotional and Mental Health Benefits for 2020, Simple Open-Enrollment Tips That Can Make a Big Difference, 10 Questions for Employees Choosing a Health Plan, 3 Open Enrollment Reminders for Employeesand HR, New OSHA Guidance Clarifies Return-to-Work Expectations, Trump Suspends New H-1B Visas Through 2020, Faking COVID-19 Illness Can Have Serious Consequences, U.S. Companys Mandatory Video Surveillance Violated Dutch Rights, Leading Difficult Conversations About Layoffs. The IRS and FSA administrators understand that life changes and that you may need to make adjustments to your elections to accommodate for those changes. Remote employment has become popular in the past few years, with more employers opting for this new way of doing things. Were hiringsee all of our open positions. The information below covers what open enrollment is and what you may do during this time. Despite your own best efforts to communicate important information and deadlines, you may have employees who dont successfully enroll on time. - Workest Your Employee Missed Open Enrollment for Health Insurance. SHRM Online, September 2019, 10 Questions for Employees Choosing a Health Plan, They must offer affordable, minimum-essential coverage to their full-time employees or potentially face the employer shared responsibility penalty. Remind your employees about these resources regularly by highlighting a single resource every month. This is nothing new. If you have questions, dont hesitate to contact your benefits specialist[insert specialist contact information or provide a link]. Short-term coverage is typically cheaper than traditional health plans, but only relatively healthy individuals will qualify. The only exception to these terms is if an employee qualifies for a special enrollment period (SEP). In some circumstances, employees may be granted a special exception that allows them to retroactively register for benefits outside the standard enrollment window when they missed health insurance enrollment. SHRM Online, September 2016. Be sure to check your state laws. For an employee, missing this vital deadline can mean losing coverage, or being unable to change benefits elections, which can have a significant financial impact on the employee. The good news is that were here for you every step of the way! She and her team will provide the district with monthly billing services. Your friend isn't necessarily looking to get placated when they give you the bad news, and they may not have prepared for the adversity. Subject Line: Lets Talk Benefits! Coby joined FBS in 2007 as a Benefit Consultant and then rose to Vice President of Sales in 2013. We encourage all employees and supervisors to treat others with equality and respect. ", [SHRM members-only toolkit: Coop Consulting Agreement Drafting an open enrollment email is not a daunting task. Benefits Administration Members may download one copy of our sample forms and templates for your personal use within your organization. But if youre looking to get started now, you can still significantly improve the usefulness of your 401K communications by highlighting a few different employee personas, and giving financial advice for each one. HR managers should be prepared to address the common employee question "What is a special enrollment period?" To provide managers and supervisors with the guidance they may need in times of crucial communication, Employee & Labor Relations has prepared sample letters for supervisors to deliver to employees: Please consult with your Employee Relations Consultantat UC Davis and UC Davis Health regarding any of these letters. Plans like, short-term coverage and critical illness allow year-round enrollment but are not regulated by the. Each year host a debriefing session to understand what worked and how to improve open enrollment the following year. Weve got some exciting options this year so be prepared to make changes! For exactly that reason, its important to make sure you go beyond encouraging higher and higher 401(k) contributions (which only some employees can manage) and, instead meet your entire workforce where it iswith more empathetic, targeted, holistic financial guidance. But most advisors suggest putting away 15-20% of your paycheck if you can. $("span.current-site").html("SHRM MENA "); You want to provide employees with essential information about the upcoming benefits period that is engaging. If you don't have time to send a formal letter, consider sending an excuse email instead. }); if($('.container-footer').length > 1){ 4 in 10 employees who are able to save for retirement are now saving less as they continue to face financial hardships. (Feel free to copy-pastewe wont tell. Missing open enrollment can be a costly mistake for employees, so employers should take adequate steps to help their employees through the enrollment process. At-home diagnostic tools help you stay one step ahead. And missing the deadline can have serious consequences for your employeesincluding loss of coverage or the inability to change coverage options. "I'm sorry to hear you lost your job. In fact, the terms of your benefits plans may prohibit you from making exceptions for employees who do not make benefits elections within a certain time periodsuch as before the new plan year begins. However, this may not be practical, especially for employees with growing families. If a company operates based on the fiscal year, the ideal open enrollment time frame would be in October. Stacia will assign and work with an FBS Billing Coordinator to work with the district on consolidated billing, discrepancies, and other billing matters. Keep your health in check To learn more, schedule a consultation with one of our knowledgeable business advisors. Copyright The Regents of the University of California, Davis campus. To apply for benefits and verify eligibility, individuals should complete the online screener application. For employer-sponsored health coverage, special enrollment period rules are in the Code of Federal Regulations. Pretty good! As Billing Manager, she assists in the day to day accounting processing for her team and is available to handle any escalated billing matters. During open enrollment, HR representatives often block off hours in their calendars to respond to employee questions about coverage, requirements, and deadlines. We've got great ideas for top health purchases before the Grace Period deadline. Pointers to pass along as open enrollment gets underway. But since he has high-interest credit card debt, Greg probably shouldnt contribute any more money to his 401Kbeyondthe match until his debt is repaid. Mr. James holds many different licenses in the insurance industry including the Insurance Counselors License through the Texas Department of Insurance. See attached flyer. Making your employees aware of these tools doesnt guarantee theyll use them, of course. Many companies find communications difficult to manage during this time and participation is frequently low.
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