Private Exchanges Take Off: Pick the Right Marketplace

Private health insurance exchanges have gained quite a bit of momentum over the past few years, with more decision-makers recognizing the convenience and cost-effectiveness of this approach to benefits administration. The appeal of private exchanges is boosted further as employers turn to defined contribution benefit models as a strategy to shift more cost to the employee. So how do HR leaders know whether an exchange will revolutionize their benefits enrollment systems for the better or result in an administrative headache? Below is some advice to help you navigate the private exchange landscape and determine if it’s the right fit for your organization:

Account for the Differences with Accessible Educational Information

What makes one exchange more optimal for an organization than another? According to a recent article from Employee Benefit News, decision-makers must account for factors such as: remote access policies, user-friendliness, benefits variety and cloud enabled during the selection process. The user shopping experience is also an important factor when choosing a suitable marketplace solution. Employees need to be able to easily access educational resources at critical decision points during the plan selection process without having to run to the HR department for answers.

Provide Support and Service

While platform features are critical to ensuring a successful transition to the private insurance marketplace, selecting a streamlined and flexible exchange solution isn't just about the software, Employee Benefit News explained. The source pointed out that partnering with a reliable and helpful service provider is also a key part of making this move, as decision-makers must be able to lean on their support resources when necessary. Software as a Service (SaaS) providers that also offer dedicated customer support can help you get the most out of your benefits and technology investments.

Benefits management software is all about giving employees the power of choice when it comes to their insurance options and empowering them to select the plan that is best suited to their needs. Using a software solution like Benefitfocus Marketplace helps ensure that your transition to a private exchange will be a seamless one. In addition to offering a guided shopping experience with user-friendly decision support tools, the Benefitfocus Benefits Service Center serves as an extension to your Human Resources department to minimize inefficiencies that can save time and money.

For more information on private exchange marketplaces, download our whitepaper Considerations in Private Exchange Marketplaces.