2020 Health Insurance Rates
Health insurance rates for the 1st quarter of 2020 are expected to be released in the coming weeks and most employers renew their medical and prescription benefit plans on January 1st. We suggest employers take advantage of what we consider an early release of 1st quarter renewals. An early decision on plan design and contribution strategy will give your business a budgeting head start while giving employees more time to consider their options and plan for their needs.
An early release of plans and rates offers a great opportunity for employers to strategically review their employee benefit offerings. Does our current plan make sense for both the company budget and my employees needs? Should I be adding something to my benefit offerings to help with employee retention and attract new talent? These and other questions are best answered without the looming deadline of open enrollment over your head.
As a result of the earlier release of 1st quarter rates many of our clients are completing their open enrollment process by early December. This creates more time for enrollment changes to be processed and new I.D. cards to be received before the rush or the holiday season.
Businesses should also make more time for employee engagement and education. The benefits of Health Savings Accounts (HSA) ownership and use continue to be a struggle for those covered by HDHP. A review of the tax benefits and savings features of these accounts can never hurt. And, the more your employees are putting in these accounts through payroll deduction is saving your business payroll tax dollars.
This is also the best time to explore offering additional benefits like Dental, Vision or Disability insurances. These can be offered on either a contributory (employer paid in full, or partially) or voluntary (employee paid) basis.
As always, if you have questions about your benefits plan or plan offerings please don’t hesitate to reach out to us. Let’s make 2020 the year that open enrollment went smoothly!