If your employer offers you health insurance, you already have an idea of how renewal season operates. Open enrollment began a few weeks ago (maybe only one or two), and the new plan year locks in on November 1st. As such, we thought it was a good time to review what the process is supposed to look like once you’ve selected the right plan for you and your dependents.
So Why Are Renewals So Necessary?
Every health insurance policy lasts a year. At that point, you can choose to discontinue your plan and switch to another, or you can renew for the coming year. It recurs every year because the carriers want to ensure they are in total compliance with the newest rules and regulations. Plus, they change the prices to account for inflation and take the time to reevaluate the risks associated with their customers’ coverages. Employers and employees can collaborate on creating benefits packages that work best for everyone.
Stage 1: Reassessment
During the reassessment phase, the companies review the prices they have in place and decide whether or not to adjust them. In general, the costs tend to trend upwards. This increase is due to inflation, doctor’s fees, new technology, and new drugs.
Stage 2: Presentation
Phase two revolves around the presentation stage. During this stage, providers contact businesses and inform them about the new health insurance plans they can offer. Thus, employers learn about the options their employees will have.
Stage 3: Selection
During the selection stage, you can choose the types of plans your employees can access. At this point, you (as the employer) will indicate how much you’ll contribute to the plan for every employee.
Stage 4: Enrollment
The employee enrollment window is the most important part of the health insurance renewal process. Your employees will be able to pick which plan option works best for them and their families (especially if their spouses do not have better plans through their employer). Besides, budgets and life circumstances can change from month to month and year to year.
Stage 5: Completion
The completion phase ends after your employees have selected their plans (and your in-house deadline has passed). Then coverage goes into effect on the specified date that the provider indicates.
The Relevant Time Frame Involved
Timeframes for renewal are not set in stone. It typically happens around the middle or end of October for some companies, but that might not be true for everyone.
A Customer Testimonial
Our latest testimonial is the next piece of what Theresa Teal from Joobani Dental Associates had to say: “The best part about all this is whenever we need Drew, we can reach him quickly, and he resolves whatever we need. Whether it’s a claim or a simple policy question, we all have his cell number and never hesitate to reach out. Working with an agent who is responsive makes all the difference. I hope that you will give Drew an opportunity to help you or your staff out as well!” Thanks again, Theresa, and kudos to you, Drew!
Get Your Voluntary, Supplemental, and Health Insurance Policies with the MWE Partnership!
Are you a business looking to provide your employees with essential voluntary benefits? If so, look no further than The MWE Partnership. When you choose The MWE Partnership, you get experienced service and comprehensive voluntary benefit options that will meet all your employees’ needs. With over 17 years of experience, The MWE Partnership is your go-to provider for all your supplemental benefit needs. If you are interested in finding out how The MWE Partnership can help your business, contact us today! We encourage you to like our Facebook page and follow us on Twitter and LinkedIn for the latest voluntary benefit news!