Why handle benefits administration when you can drive strategy?

In today's competitive business landscape, organizations must focus on strategic initiatives to stay ahead. Handling benefits administration in-house can be a significant distraction from more critical business goals, be expensive to staff, or there may just not be a need for dedicated full-time administration roles during non-peak times of the year. However, there may be significant needs only during the busy months around open enrollment. By partnering with a dedicated benefits administrator, you can not only streamline your benefits management but also free up valuable resources to drive your organization's strategy and do what you do best.

Here are five considerations for selecting a benefits administrator to ensure you make the best choice for your organization.

1. Range of services

When evaluating potential benefits administrators, it's essential to ensure they offer a comprehensive suite of services that align with your organization's specific needs. Look for administrators that can support a wide array of benefits programs, such as medical, dental, vision, disability, life insurance, defined contribution, defined benefits, total rewards, and voluntary benefits. A strong benefits package with integrated administration and effective communication can enhance employee satisfaction and retention, aid in decision-making, and support better health, making it a critical factor in your evaluation process.

2. Technology and integration

A robust technology platform is crucial for efficient benefits administration. Assess the ease of use, functionality, and integration capabilities of the administrator's technology. The platform should seamlessly integrate with your existing HR systems and across your various plans to streamline administration and improve the employee experience. Additionally, the system should be user-friendly, enabling both HR teams and employees to navigate it effortlessly. Customization and flexibility are also vital. Look for an administrator who can tailor its services to meet your organization's unique needs and adapt to changes in your workforce or benefits strategy.

3. Customer service

The quality of customer service provided by the benefits administrator to both your HR team and employees is paramount. Evaluate their responsiveness, availability, and ability to resolve issues effectively. Make sure they can be an extension of your company’s culture and values – and can assist your employees as you would if you had the time. Having a one-stop shop for all your benefits customer service needs is essential for maintaining that consistency.

4. Cost and value

While cost is an important consideration, it's equally important to assess the value provided by the benefits administrator. Compare the costs of different administrators, but also consider the quality of service, advanced technology, level of customization available, and employee support. Sometimes, a higher fee can be justified by superior service and technology that can lead to long-term savings and improved employee satisfaction. Conduct a comprehensive cost-benefit analysis to ensure you are getting the best value for your investment.

5. Reporting and analytics

Detailed reporting and analytics capabilities are essential for making informed decisions about your benefits programs, and they need to be available at your fingertips on demand. Look for administrators that provide robust reporting tools, intuitive self-service capabilities, and full transparency in how your programs are being managed. Comprehensive reporting can help you optimize your benefits strategy, monitor your plan performance, and enhance employee satisfaction by ensuring that you are providing the most valuable and cost-effective benefits to your employees, and they understand what they are choosing. By leveraging data-driven insights, you can continuously improve your benefits offerings and align them with your organization's goals.

Conclusion

In conclusion, selecting the right benefits administrator is a critical decision that can have a significant impact on your organization's success. By considering the range of services, technology and integration, customer service, cost and value, and reporting and analytics capabilities, you can make an informed choice that will streamline your benefits administration and allow you to focus on driving your strategic initiatives.

For questions regarding Milliman’s benefits administration solutions, contact a Milliman expert.

For more information on Milliman’s benefits administration solutions, visit Milliman Health & Welfare Administration.