Benefits. So often we see this word being used by employers advertising a new job, or by individuals who is it proudly to describe where they work. But what does the term health benefits really mean? How often do you think individuals truly understand the terms in their insurance policies and how they can help? Less than half, according to information published recently by Lincoln Financial Group. Their research showed that while 72% of employees had general knowledge regarding health insurance, only 44% completely understand their benefits, 23% were confident in their knowledge of critical illness insurance and 22% has some understanding of hospital indemnity benefits. Offering health plans to employees is one of things that businesses use to promote themselves, stay competitive and to help satisfy their employees needs leading to higher productivity rates. However, it may be time for employers to step up and educate their employees about the benefits of their plans. Employees are more likely to purchase a policy if they understand what benefits they can actually receive from these policies. The study showed that individuals primary concerns were financial stressors such as bills, retirement, healthcare expenses, premium amounts, and coverage amounts for themselves and their families. Also, most employees would be happier with their employers opening up benefit choices, education, assistance with choosing tailor made plans, and communication channels to discuss their benefits when needed.
- gaps in benefit education is the cause for 44 %of employees not understanding the health plan benefits
- only 72 % of employees have general understanding of health insurance.
- employers can improve the health plan benefits with better communicating channels through phone,email.
“The data suggests that employers can effectively address the information gaps that employees have about their potential health plan benefits.”