One-Time vs Ongoing Dependent Verification

Organizations have two options when it comes to conducting dependent audits: One-time audits and ongoing verifications. 

One-time audits 

One-time “full” audits review all dependents at a single point in time. This allows employers to conduct a sweeping review and remove all ineligible dependents uncovered by the audit. One-time audits are often conducted annually or every 2-3 years. 

The main advantage of one-time audits is the large cost-savings realized by removing accumulation of ineligible dependents from over the years. However, they can place a substantial burden on HR teams to manage.   

Ongoing verification 

Ongoing verification requires employees to submit eligibility documentation for dependents each time they enroll – during open enrollment or after major life events. This prevents ineligible dependents from ever joining coverage. 

While less burdensome than large one-time audits, ongoing verification provides fewer opportunities to uncover cumulatively ineligible dependents. The best practice is to combine one-time and ongoing audits.