Tag Archive for: employee health plan

Looking to Hire the Class of 2021? Add these Employee Benefits Now

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Studies show that employers are planning to hire 7.2% more college graduates from the Class of 2021 than they did from the Class of 2020. While young talent can bring fresh ideas to the workplace, employers may need to adjust their benefits to attract new applicants.

The global pandemic has changed the way that workers view their workday and college graduates are no exception. Many of these graduates finished their education at home, without any in-person interaction from professors or peers. This has created resilience and a strong work ethic for most. It has also led to a much more independent workforce.

What the Class of 2021 Really Wants

In addition to adequate compensation, top benefits requested by the Class of 2021 include medical coverage, 401(k) match, and flexible work hours. Increased interest in 401(k) match and health benefits reflects the younger generation’s fears surrounding financial insecurity and potential health issues caused by another pandemic. This generation of workers are more interested in ensuring future protection for themselves and their families.

Above anything else, young talent wants quality health benefits that include mental health coverage. In a LaSalle Network report, 40% of recent graduates listed mental and emotional health as a top concern when entering the workforce. Providing quality benefits may be just what employers need to attract and retain young talent.

Current Labor Shortage Impacts Employers Around the U.S.

ManpowerGroup recently reported that 7 in 10, or 69% of all companies have experienced talent shortages and difficulty hiring this year. In late April, there were over 9.3 million open jobs in the United States. Currently, the U.S. is experiencing both a labor shortage and record-high unemployment rates. Many states have begun reducing unemployment benefits in an effort to get more people to apply. However, this is doing very little to resolve the labor shortage. According to BTIG, only 3% of individuals were earning enough from unemployment to have no financial need to return to work.

Flexible Work

Employers that wish to attract quality talent need to consider the reasons why workers don’t want to return to the office. Before the global pandemic, employers told workers they needed to come to work each day. Forced closures and reduced occupancy rates pushed employers to consider alternatives to the traditional workday. Millions of American workers shifted to remote work in a matter of months. While this presented challenges at first, over time most workers and their employers realized the benefits of working from home.

As we move past the pandemic, it’s become much harder for employers to justify in-office attendance. Many workers have decided they simply will not go back to a job that does not offer flexible work arrangements. While some workers may work remotely full-time, many would be willing to accept a hybrid schedule with 2-3 days spent in an office environment.

MEBO works with leaders to create customized employee benefit plans. Please contact us for information about our services or to schedule a consultation with one of our benefit specialists. We look forward to hearing from you.

 

New HHS Rule Protects Consumers from Surprise Billing – Here’s What it Means for Employers

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The term “surprise medical bill” describes charges incurred when an insured person inadvertently receives care from an out-of-network provider. This type of situation is common during emergencies and other events where the patient has no control over who provides their care. Patients picked-up by an ambulance or taken to the nearest emergency room may later learn that the hospital, ambulance, or physicians were not covered by their health insurance. Sometimes patient’s receive care at an in-network facility only to find out later that the provider or specialist doesn’t participate in their health network.

Surprise Medical Bills Prevent Patients from Seeking Care

In addition to costing thousands of dollars each year, surprise medical bills may also prevent patients from seeking care. A public opinion survey conducted by The Harris Poll on behalf of the American Heart Association found that 49% of U.S. adults say fear of unexpected medical bills prevents them from receiving care. 44% of those surveyed said they would not have the money to pay for an unexpected medical bill of $1,000 or more.

HHS Interim Final Rule

On July 1, 2021, the Department of Health and Human Services (HHS), the Department of Labor, the Department of the Treasury, and the Office of Personnel Management (OPM) released an interim final rule designed to protect patients from financial hardship due to surprise medical billing. The interim final rule takes effect on January 1, 2022 and restricts excessive out-of-pocket costs from out-of-network billing and balance billing. While Medicare and Medicaid already ban these types of surprise charges, the new HHS rule extends protections to individuals insured through an employer-sponsored or commercial health plan.

The new HHS rule bans surprise billing for emergency services. It also bans high out-of-network cost-sharing for most emergency and non-emergency services, out-of-network charges for ancillary care provided at an in-network facility, and out-of-network charges without advance notice.

New Surprise Billing Rule May Help Employers Save Time & Money

While most people will agree that the new rule will help consumers better manage their healthcare spending, many employers wonder what the new HHS rule means for them. Fortunately, most of work to ensure compliance will be done by insurance carriers, third-party administrators (TPAs), and healthcare providers. However, it is important that employers work closely with their carrier and TPA partners to ensure their plans are taking the necessary steps to compliance.

MEBO provides employee benefits plans custom-tailored to the unique requirements of organizations today. Our team of benefits specialists can help you locate a compliant health plan that meets your needs and budget. Please contact us for information about our services.

 

 

 

 

Rewarding Employees – What Works and What Doesn’t

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Most employers understand the benefit of rewarding employees. A well-planned, strategic employee reward system increases productivity, encourages teams to work harder, and may help employers attract and retain top talent. Unfortunately, 82% of employed Americans don’t feel that their supervisors provide adequate recognition for their efforts. This is bad news for employers, as employees that feel unappreciated are more likely to leave their current job.

Developing an Effective Employee Reward System

It’s not that hard to provide employees with proper recognition. However, employers need to take some time to learn what their staff actually wants. It’s also important to determine how, when, and what employees will receive. The right employee rewards system should compensate employees for both performance and behavior.

While it’s easy to recognize and address employee performance, deciding which behaviors to reward is a little more challenging. Employers should focus on rewarding behaviors or activities that benefit the company or its employees.

Although giving out generic rewards to every employee may seem like an easy-to-manage solution, this won’t motivate all employees. Each employee is unique. Employers that offer personalized rewards tend to see better results.

Types of Employee Rewards

When considering employee rewards, most employers think of financial compensation. Although it’s true that most employees appreciate this type of reward, it’s important to develop a reward system that addresses short-term as well as long-term company goals.

Providing regular feedback, even negative and neutral feedback helps employees better understand how they’re doing and where they need to improve. Feedback helps keep employees engaged and teams motivated. A simple acknowledgement or recognition of a job well done could go a long way towards improving employee satisfaction and retention.

Benefits are an important part of any strategic reward system. Many employers require employees to work a specific length of time and/or put in a certain amount of effort before they can access certain benefits. While this can have a positive impact on employee retention and performance, employers should take care when choosing the employee benefits they offer. Employers that do not offer comparable benefits to their competitors will probably find it difficult to attract good employees.

Experienced Employee Benefit Specialists

MEBO offers employee benefits packages, custom-tailored to the unique needs of organizations today. Our benefits specialists have years of experience working with employers from a wide range of industries. Our approach ensures employees receive the benefits they want, with the price and transparency employers need. Please contact us to schedule a consultation.

 

 

 

IRS Provides Guidance on the New COBRA Subsidy

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On March 11, 2021, the President signed the American Rescue Plan Act (ARPA) into law. This law includes a 100% COBRA subsidy aimed at providing health insurance coverage to over two million Americans that were laid off during the COVID-19 pandemic.

While many U.S. workers will benefit from the new COBRA subsidy, employers have struggled to understand the new law and what it means for their business. On April 7, 2021, the U.S. Department of Labor issued guidance and model notices to help employers comply with COBRA subsidy requirements. More recently, the Internal Revenue Service (IRS) released Notice 2021-31, which provides further guidance and answers to questions regarding eligibility, election period, Outbreak Period extensions, and payroll tax credits.

Eligible Health Plans

The COBRA subsidy applies to all group health plans sponsored by private-sector employers or employee organizations subject to COBRA under the Employee Retirement Income Security Act of 1974 (ERISA). It also applies to health plans sponsored by state or local governments subject to the continuation provisions under the Public Health Service Act.

Determining Eligibility for the Subsidy

Individuals must be enrolled or become eligible for COBRA on or after April 1, 2021 and before September 30, 2021 to qualify. Individuals that became eligible for COBRA before April 1, 2021 and did not elect coverage may also qualify if they have an 18-month COBRA period. These individuals must elect coverage within 60 days following receipt of their subsidy notice.

All individuals that experience a loss of employee health coverage due to involuntary termination or reduction of hours within the specified time period are eligible for the subsidy. However, employees terminated for gross misconduct do not qualify.

The IRS Notice defines involuntary termination of an employee as “a severance from employment due to the independent exercise of the unilateral authority of the employer to terminate the employment, other than due to the employee’s implicit or explicit request, where the employee was willing and able to continue performing services.” Notice 2021-31 provides examples of events that would make an individual eligible for coverage. The notice also provides guidance on which situations might make an employee ineligible for the subsidy.

According to the IRS Notice, employees that experience a reduction in hours resulting in loss of health insurance coverage will qualify for the COBRA subsidy, regardless of whether the reduction in hours was voluntary or involuntary.

Payroll Tax Credits

The COBRA subsidy is paid to employers as a tax credit against their portion of Medicare taxes. Employers can claim the tax credit on their quarterly IRS Form 941 or in advance using IRS Form 7200. Payees are eligible to receive a tax credit equal to the amount charged for COBRA premiums per quarter.

Employers should review the IRS guidance as well as the DOL model notices for more information about the COBRA subsidy.

MEBO offers employee benefit plans, custom-tailored to the needs of our clients. Please contact us for information about our services.

 

 

 

Retrieving and Analyzing Claims Data on Fully-Insured Plans

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Many employers would like to better understand their healthcare spending. Until recently, it wasn’t easy for companies to retrieve health claims information. Fortunately, technological advances have made it possible for employers to analyze and leverage health program data.

Analyzing Health Program Data

Employers use data analytics to make sense of the large amounts of health program data collected. Using a robust data analytics tool, leaders can view what works and what doesn’t with their existing fully-insured benefits plan. This tool provides employers with the information needed to assess whether other options are the right choice for their organization. This is especially important now, as companies attempt to rebuild and repair budgets after the pandemic.

Using a claims retrieval tool, leaders can quickly and efficiently retrieve and view detailed claim reports in easy-to-understand language and diagrams. These tools make it possible for employees to share their Explanation of Benefits (EOB). This information is crucial in helping leaders better understand how their healthcare dollars get spent. Employers can also use a claims retrieval tool to assess how a level-funded or self-funded plan might help their business.

Although self-funding might not be the best choice for every organization, companies that make the switch to self-funding can save a significant amount of money over time with results as soon as year one. This could help offset rising healthcare costs. Unlike fully-insured plans, companies that take level-funded or self-funded approach enjoy increased transparency and control over their healthcare spending.

Retrieving Financial Reports

Financial reports aren’t typically available to small or mid-size companies. This can make it impossible for leaders to assess risk and create budgets.

In the past, companies had to pay a considerable amount of money to obtain financial reports. Fortunately, claims retrieval software makes financial data accessible to employers regardless of the size of their company. This is excellent news for small to mid-size companies which generally pay 8-18% more than larger firms for the same fully-insured health insurance plans.

An experienced benefits specialist uses claims retrieval software to retrieve and analyze claims data. The software takes employee EOBs and aggregates the data into a cost analysis.

Small to Mid-Size Companies Could Benefit from Speaking with an Employee Benefit Specialist

When armed with the right tools and resources, leaders can reduce healthcare spending and leverage data to improve their benefits program. Employers interested in learning more about healthcare spending should speak with an experienced benefits specialist.

MEBO has years of experience helping organizations customize their benefits plan to meet the unique needs and goals of their organization. Please contact us for more information about our services.

 

Finding the Right Care at the Right Place at the Right Time

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Most employers understand the importance of routine healthcare. Healthy employees miss less work and spend less money on treatment. Employees that receive routine healthcare are more likely to catch issues sooner, when they’re easier to treat. Routine healthcare also reduces the number of emergency room visits each year. Despite the importance, getting employees to seek out healthcare creates a challenge for many leaders.

Providing healthcare benefits ensures employees have access to quality care. However, not many people know how to locate the right care for their situation. It is up to employers to ensure employees receive the care they need, when they need it. This is accomplished by providing options, increasing access to care, and educating employees on best practices.

Ensuring the Right Care

As consumers take a more active role in their healthcare, employers need to increase access to information and care. Taking a customized approach to healthcare ensures a benefit program that meets the needs of both employees and the companies they work for.

The right employee benefits specialist doesn’t just provide leaders with health insurance; they provide access to the resources employers need to ensure proper care for their employees. A well-planned medical management program provides employees with access to the care they need, without the large medical bills typically associated with medical evaluation and treatment. The program provides employees with access to a team of professional doctors and nurses. This team works diligently to ensure patients receive the right care at the right time and for the best price. With a medical management program, quality care is just a phone call away.

Medical Management Programs Help Control Healthcare Spending

A medical management program helps patients requiring non-emergency care avoid costly medical bills and unnecessary trips to the ER. When utilized during a health emergency, a medical management program can help patients and employers navigate care and the insurance system. This helps prevent overspending and ensures everyone is on the same page.

Medical management programs are custom tailored to the specific needs of the employer. The “Patient Centric” approach ensures patients receive the care they need when they need it most. The program provides patients with valuable information about their condition and care. This helps patients become more efficient when visiting their medical provider. When armed with the right information, patients can effectively take control of their own care.

California Benefits Specialists

At MEBO our experienced employee benefit specialists work directly with employers to develop a benefits package that fits the culture, needs, and budget of our clients. We are pleased to offer customizable medical management programs. Please contact us to schedule a consultation.

 

How Healthcare Consumerism is Changing Healthcare

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In today’s modern world, consumers have instant access to information about medical conditions and possible treatments. With so much information available at the touch a button, it only makes sense that consumers would want to take more control of their healthcare. Unfortunately, many consumers feel they do not have adequate information or the tools needed to make their own healthcare decisions.

According to a Consumer Reports survey of 1,000 insured adults who incurred a major medical bill, 2 out of 3 patients experience billing issues. These issues range from bills arriving months after treatment, to unclear statements and higher-than-expected charges. The same survey found that one-third of participants paid medical bills they weren’t sure they even owed. 20% of these participants paid over $1,000 on these bills.

It’s this confusion that’s driving consumers to demand transparency and better communication from their healthcare providers.

Healthcare Consumerism Increases Patient Involvement in Care

Healthcare consumerism puts patients in control. This economic model takes healthcare from fee-for-service to value-based care. Healthcare consumerism has the added benefit of making patients active participants in their own care. This improves outcomes and increases patient understanding of their health.

Healthcare consumerism isn’t new. In fact, literature dating back to the 1930s refers to patients as consumers. When applied to an employee health benefit plan, healthcare consumerism puts the economic purchasing power and decision-making in the hands of the participant.

Employer Involvement in Healthcare Consumerism

As patients become more involved in their healthcare decisions, it’s important that leaders support this change. Getting employees to become better healthcare consumers could help leaders better manage their healthcare costs. However, employers need to provide employees with more than just the tools to become better consumers. They need to provide them with the incentive to use these tools as well.

For example, employers could explain how choosing generic versions of brand-name drugs could save employees at the pharmacy. In addition to cost-savings, this type of education helps ensure employees do not skip out on important medications due to the high cost of brand-name drugs. Many employers also offer incentives like contributions to HSAs and HRAs.

Final Thoughts

While employees will likely pay higher premiums and out-of-pocket expenses in the coming years, healthcare will continue to make the shift toward value over volume. This will ultimately make healthcare more efficient and cost-effective for consumers.

MEBO helps employers develop employee benefit plans, custom-tailored to their needs and budget. Please contact us for information about our services.

 

Increase Employee Satisfaction with These Affordable Benefits

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Employees today care more about benefits than ever before. A recent study by the Society for Human Resource Management (SHRM) found that 92% of employees believe that benefits are important to overall job satisfaction. Companies that offer benefits like health insurance and retirement accounts are more likely to attract and retain employees. In fact, according to a recent study by Jobvite, a leading recruiting software provider, more than half of recruiters list medical and dental coverage and a 401K plan as the most effective benefits for attracting employees.

While most companies already understand the top benefits of offering health insurance, offering additional benefits could help employers maintain a competitive edge. These additional perks cost employers very little, but provide significant benefits to employee satisfaction.

Wellness Programs

Perhaps one of the most popular and affordable modern benefits, wellness activities and programs improve productivity, reduce the number of sick days, and help employees develop healthy habits that last a lifetime. Adding wellness activities doesn’t have to take a lot of time or effort. Many companies encourage group walks at lunchtime or offer yoga classes in the morning. Even companies that have not returned to the office can promote wellness activities. Groups can meet and track their progress through apps or social media. Some companies even organize fitness challenges, where employees compete against each other for a prize.

Snacks

Many companies now offer employees free meals or snacks throughout the day. This small investment could have a major impact on the way employees view their work and engage with others. Offering free snacks to employees increases job satisfaction and may make employees more productive.

Casual Dress Code

An increasing number of companies are letting go of their professional dress code in favor of more casual styles. This employee perk costs employers nothing. Casual work attire can put employees at ease which can make them more relaxed, creative, and productive. According to a recent study, more than one-third of job seekers expect employers to allow a casual dress code.

Signing Bonus

Although a signing bonus isn’t necessary, recruiters agree it’s an effective benefit. Offering a signing bonus may make it easier for candidates to accept a job offer.

Employee Benefit Specialists

MEBO offers employee benefit packages, custom tailored to the needs of each organization we work with. Our team of benefits specialists works directly with employers to analyze their needs and develop a comprehensive solution. Please contact us to schedule a consultation.

 

 

Is Your Organization Prepared for Generation Z?

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Generation Z, also known as Gen Z or Zoomers, have started joining the workforce. Unlike previous generations, Gen Z do not remember a world without the internet. This generation has grown up with information at their fingertips, and many bring this expectation with them to the workplace.

The oldest Gen Z’ers turn 23 this year. Many have finished college, and are looking to start their career.

Technology-Centric Workers

As mentioned above, Gen Z grew up in the age of the internet. This generation has high expectations when it comes to technology.

According to a report by Forrester, Gen Z want choice when it comes to tech selection. The report found five factors that could help companies improve technical experience for this young workforce:

  • Hardware – 1/3 of Gen Z workers would prefer a two-in-one laptop
  • Software – Younger workers use core productivity tools less than older generations
  • Security – 46% of Gen Z workers would like to choose their own security software
  • Privacy – 23% of Gen Z workers state concern about their company accessing their personal information
  • Mobility – Gen Z workers are less likely to work at home but more likely to work in co-working spaces or in multiple locations throughout the office

Diversity & Inclusion

Gen Z workers want to work for a company that is open-minded and accepting. This generation places high value on diversity and inclusion when it comes to race, gender, identity, and orientation. According to Deloitte, Gen Z also values salary less than previous generations. These young workers are more likely to choose an interesting job over one with a higher salary.

Health Benefits

In 2018, The American Psychological Association (APA) found that national issues such as sexual harassment, immigration, and gun violence are significant stressors for Gen Z. A whopping 27% of Gen Z report fair or poor mental health. Fortunately, this generation is also more likely to seek treatment or therapy.

Although Gen Z workers tend to be high achievers, they have high expectations when it comes to what they want from their employer. Employers looking to attract and retain young employees may want to evaluate their benefits plan to ensure it meets the needs of these workers. Employers should consider adding mental health, vision, dental, maternity, and well-being benefits to their plan.

Employee Benefits Specialist

MEBO offers employee benefit plans custom tailored to the needs of each organization. We work directly with employers to determine the best fit for their goals and budget. Please contact us to schedule a consultation.

Helping Employees Build Resilience

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Over the past few years, employers have increased their focus on mental health. In addition to offering mental health benefits, many employers also work towards building resilience in the workplace. Building resilience can help protect employees from mental health conditions like depression and anxiety. Resilience can also help offset factors that may increase the risk of serious mental health conditions.

Employee Mental Health

Mental health includes an individual’s emotional, psychological, and social well-being. The quality of a person’s mental health helps determine how they handle stress and relate to others. Poor mental health can impact a person’s ability to make healthy choices. It can affect productivity and impair personal and professional relationships. Mental health disorders can also affect physical health, increasing the chance of missed workdays.

Everybody faces trauma, adversity, and stress at some point in their life. According to a 2019 study by Gallup, 55% of Americans experience stress on a daily basis. This is 20% higher than the world average. Building resilience may help employees better handle life-changing and stressful situations.

Encourage Employees to Take Time for Self-Care

With so much going on, it’s not uncommon for employees to put self-care on the back burner. Unfortunately, many people view self-care as a luxury instead of a necessity. This is a big reason why so many people feel overwhelmed and run down. It’s crucial that employers encourage employees to take some time for self-care. Even a few minutes of mindful breathing can have a big impact on mood and resilience.

Keep Teams Connected

Although in-person meetings might not take place like they used to, it’s still important for employers to encourage regular team meetings. Weekly meetings provide an opportunity for employees to share their feelings and brainstorm solutions to problems.

View Challenges as Opportunities

Mistakes happen and everyone experiences difficulties from time to time. Instead of focusing on what went wrong, employers should encourage employees to view challenges as a chance for growth. This can help employees develop new solutions to old problems. It can also improve the way they view difficult situations in the future.

Provide Access to Mental Health Services

It’s important that employers inform employees of the mental health benefits and services available to them. Employers may choose to provide information on accessing care and resources.

Employee Benefit Specialist

As workplace stress levels rise, it’s crucial that employers offer employees the support they need. At MEBO, we help employers develop customized employee benefit plans. Please contact us to schedule a consultation.