Technology is improving the way employee benefits are marketed and sold by brokers, and managed and delivered by employers. According to Tapping the Potential of Technology, the fourth in a series of research briefs stemming from The Prudential Insurance Company of America’s (Prudential’s) Seventh Annual Study of Employee Benefits: Today & Beyond, three-fifths of employers – primarily those with more than 500 employees – report using an administrative platform to manage their benefits programs. Of those, 62% rate the use of their platforms effective with another 37% rating it highly effective.
Fifty-three percent of those using an administrative platform say it is integrated for all employer-paid and voluntary benefits, 21% have only employer-paid benefits on the platform. “Platform integration is seen as beneficial by many Benefits Managers as the key to enhancing capabilities and driving results,” notes Joseph M. Hayes, vice president, Information Systems, Prudential Group Insurance. “About half of all those who do not have an integrated platform for all benefits say an integrated platform would make benefits management easier.”
The use of an enrollment platform is also seen as a useful tool. Fifty-two percent of employers have an enrollment platform and more than half (59%) are integrated for all employer-paid and voluntary products. Integration is most common among companies with more than 10,000 employees at 73%. Of those employees whose companies don’t have an integrated platform, 52% report that it would be easier to have all of their benefits on the same platform.
“We’ve also seen some innovation in the ways brokers are using technology, from accessing leads and marketing and sales material, to claim processing and a variety of reporting systems,” Hayes noted. “We’ve learned that 44% are either currently submitting or wish they could submit Requests for Proposals (RFPs) through a tablet or smart phone.”