What are benefits administration systems?

Are you ready to lighten your benefits administration load? Whether you’re a small business owner who wears many hats or an HR pro at a large business, a benefits administration system can help you effectively manage your employee benefits program and address challenges. Keep reading for everything you need to know.

What is a benefits administration system?

There are many tedious and time-consuming tasks inherent to benefits administration. A benefits administration system is software that can help manage your company’s employee benefits and take some of the burden off your plate. Systems can also help improve the employee experience, boosting satisfaction and retention.

There are many ben admin systems on the market, each with unique features and capabilities. As you consider what’s right for your needs, here are some components to look for.

Helpful features of benefits administration systems

• Online enrollment—Systems may feature online self-service technology that enables employees to easily view and select their desired benefits.
• High-touch expert service—Some systems take the guesswork out of benefits decisions by offering employees one-on-one conversations with benefits educators.
  Related: Here’s how employee benefits education impacts your bottom line
• Employee self-service—These functions allow workers to make changes to their benefits and communicate with benefits administrators via mobile apps or social media-style interfaces.
• Reporting—Systems can help streamline, compile, and manage reports for employers.
• Billing—Features may include payroll deduction, group billing management, and claim filing and tracking.
• Compliance solutions—Through built-in checks, systems can help ensure compliance with the Affordable Care Act (ACA), the Consolidated Omnibus Budget Reconciliation Act (COBRA), and the Health Insurance Portability and Accountability Act (HIPAA).
• Cost containment—Streamlining of reporting and data management can reduce administration costs and optimize human resources’ time.
• Intuitive technology—Some systems can tap into multiple vendors and plans for a reliable and responsive benefits experience.
• Year-round enrollments—Systems may support employer and employees not only during open enrollment, but also during new hire onboarding, off-cycle enrollments, qualifying life events, and mergers and acquisitions.
  Related: How off-cycle enrollments benefit brokers, clients
• Employee incentive programs—Workers who fulfill predetermined health and fitness benchmarks through the system may receive rewards.

Is a benefits administration system right for you?

The right ben admin system is a win-win because it can help simplify the benefits experience for both you and your employees. Through automated processes, streamlined tasks, and cost containment, the right ben admin system can help you focus more on growing your business and supporting your team.

Want more? Check out our blog, Brokers weigh in on the status of benefits technology in 2024.

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Optavise is a trusted partner, guiding employers and their employees through healthcare choices including voluntary benefits, benefits administration, and year-round advocacy services that reduce costs and increase benefits engagement.