6 Key Metrics for Measuring Open Enrollment Success

October 18, 2021
Kahley Czupek
Timer  Read Time: 4 minutes
6-oe-metrics

When most HR teams sit down to prepare for open enrollment, they think about what goals they want to set, how they plan to communicate information to employees and how they will execute the actual enrollment period. However, post-enrollment measurements are equally as important and should be discussed in the planning period as well. It’s important to know how you will measure OE outcomes to understand what worked, what didn’t and if you hit your goals. We’ve detailed which metrics should be top of mind this year to help you in your OE planning process.

1. Year-Over-Year Increase in HDHP and HSA Participation

High deductible health plans (HDHPs) paired with health savings accounts (HSAs) can be powerful cost saving benefits for both employers and employees. Since healthcare costs continue to rise and 60% of employers say it’s one of their biggest concerns, HSA participation is an important metric related to reducing costs. By looking at the year-over-year increase in participation, you can gain insight into whether your HSA educational efforts paid off. Since this type of plan not only benefits employers but employees as well, effective educational content that reaches your employees should drive increased participation.

2. Total Participation Rate by Benefit Type

Looking at total participation rate by benefit type is important to understanding what your employees need and value in a benefits package. This metric answers questions such as “what are your employees enrolling in?”, “are there areas where you need to increase education?” and “are there areas that could allow for cost savings?” By learning what your employees value, you know where to increase or decrease spending and educational effort.

3. Percent of Premium Cost Contribution for Employer Versus Employee

Premium cost contribution provides valuable insight into the competitiveness of your benefits package. Knowing how much your employee contribution has risen each year provides a benchmark to compare against other companies in your industry. This metric tells you how your benefits package stacks up against others, which is valuable in recruiting and retaining talent.

4. Cost Breakdown by Benefit Type

As we mentioned earlier, benefit costs are on the rise. It’s important to know which benefit types are increasing the most and driving your overall cost. Additionally, you should compare this cost breakdown with participation rate by benefit type to see which benefits are most cost effective for your company. This insight allows you to learn more about which benefits are most valuable for you and your employees, as well as where you can potentially cut costs.

5. Dependent Eligibility Rate

Dependent eligibility rate looks at how many dependents are actually eligible. We all want this rate to be 100%, meaning they are all eligible, however that is often not the case. By running a dependent verification audit and looking at this metric, you can save on average $3,500 per year per ineligible dependent removed. To learn more about automated verification, check out our DependentIQ product sheet.

6. Number of Incomplete Enrollments

It’s important to look at the number of incomplete enrollments all throughout your OE period and use your platform’s communication tools to remind employees to either start or finish shopping for their benefits. However, you should also look at this number at the end of OE as well. Understand how many of your employees listened to your reminders and completed enrollment, how many were still incomplete and how many didn’t enroll at all. Armed with that metric, you can try to figure out why those employees didn’t respond to your communications and reminders and adjust your strategies accordingly for next year.

Want to Learn More?

If you’re looking for more tips on metrics and reporting for this OE, watch our free, on-demand InsightsIQ webinar or schedule a product demo with our team today!

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