6 tips for managing group supplemental insurance
Unraveling the complexities of group supplemental insurance can be daunting, but equipping oneself with expert strategies is crucial for successful management. This article distills the knowledge of industry professionals to provide you with straightforward tactics for improving your approach. Gain valuable perspectives on effectively communicating coverage, tailoring information to individual needs, and making informed decisions for your workplace.
- Communicate Coverage Clearly
- Simplify and Personalize Communication
- Evaluate Workplace Needs
- Ensure Clarity and Accessibility
- Highlight and Integrate Supplemental Benefits
- Simplify Choices and Educate Employees
Communicate Coverage Clearly
Often times, we add these coverages but don’t clearly articulate to employees how or when they would use them. For example, an employer may provide short-term disability (STD) coverage but fail to communicate this awesome maternity/paternity leave benefit. It’s not obvious to employees the purpose of each coverage; therefore, you could be missing a ‘win’ in terms of showcasing what a great employer you are by offering coverage options that will greatly benefit your team members.
If your insurance broker or agent isn’t providing educational support to your HR team to ensure you are educating your team members in a helpful way, it’s time to find a new insurance broker. They have tools and resources for you and should be proactively supporting you in this way (in exchange for the money they are making from your organization on these plans).
Kerri Roberts
Founder & CEO, Salt & Light Advisors
Simplify and Personalize Communication
One of the most effective tips I can share for managing group supplemental insurance is to simplify and personalize the communication process. Too often, employees either don’t fully understand the value of their supplemental benefits or feel overwhelmed by complicated plan details. This confusion leads to low participation rates and missed opportunities for coverage that could truly support them and their families.
What’s worked well in my experience is offering clear, bite-sized educational content, such as short videos, FAQs, or one-page benefit highlights, well before open enrollment. Pair that with one-on-one support opportunities, like virtual Q&A sessions or access to a benefits advisor, so employees can ask questions and make informed decisions based on their personal needs.
On the backend, using a benefits management platform can make a huge difference. It streamlines enrollment, tracks participation, and helps ensure compliance, all in one place. It also gives HR better visibility into which benefits are resonating with employees and where there may be gaps in understanding or access.
Managing group supplemental insurance isn’t just about offering more; it’s about helping employees see the real value behind those offerings in a way that’s digestible, timely, and personal.
Sean Smith
CEO & Ex Head of HR, Alpas Wellness
Evaluate Workplace Needs
My top tip for managing group supplemental insurance is to evaluate the needs of your workplace before searching for providers or plans. This approach helps you find the right balance between offering comprehensive coverage and maintaining cost-effectiveness.
Conducting employee surveys is an excellent way to assess their needs and satisfaction with current benefits. The data gathered, combined with your own analysis, can help identify gaps in your coverage that supplemental insurance can fill. Surveys also highlight the types of supplemental insurance your employees are most interested in. In large or multi-generational workplaces, you may see a wide variety of needs. In these cases, offering voluntary benefits that employees can purchase through payroll deductions can be a smart option, providing the coverage they need while remaining budget-conscious. Voluntary benefits can also give you more flexibility as employees’ needs evolve over time.
There are many supplemental insurance providers and plans available, and what works for one team may not suit another. Once you understand your specific team’s needs, you’ll be in a better position to evaluate the options and choose the best fit for your business.
Steve Faulkner
Founder & Chief Recruiter, Spencer James Group
Ensure Clarity and Accessibility
Clarity is everything. Employees often overlook the details of group supplemental insurance until they need it, so making the benefits easy to understand and access is key. Keep communication straightforward by avoiding jargon, breaking down coverage in simple terms, and offering real-world examples of when and how employees might use it. Regular check-ins help too. Instead of waiting for open enrollment, create opportunities for employees to ask questions throughout the year. When people see the value before they need it, they are more likely to make informed decisions and use their benefits when the time comes.
Alisa Volynets
HR, Career Growth Consultant, SEO for Contractors
Highlight and Integrate Supplemental Benefits
They’re a great add-on when employees understand what they cover. Highlight them in all your communications as part of your standard offerings and give examples of how they can help. Make sure enrollments take place at the same time and have similar requirements as all other benefits to avoid extra processes. Using one vendor for the supplemental insurance products will also help in leveraging the best price for employees and will reduce additional processes as well.
Annalee Malone
Benefits & Compensation Manager, Total Safety U.S. Inc
Simplify Choices and Educate Employees
For many HR leaders, managing group supplemental insurance can feel like a necessary but complex addition to employee benefits. These voluntary benefits–ranging from accident and critical illness to hospital indemnity and disability insurance–offer employees valuable financial protection. But without proper planning, they can become just another checkbox on the benefits list rather than a meaningful part of your total rewards strategy.
So, what’s the key to managing these benefits effectively? Simplify the choices and educate your employees.
1. Curate, Don’t Overwhelm
Employees often struggle with decision fatigue when presented with too many options. Instead of offering every product available, work with your benefits consultant to curate a well-rounded selection that aligns with your workforce’s needs. Consider employee demographics, claims data, and feedback from past enrollments.
2. Make It Easy to Understand
Insurance jargon can be confusing. Clear communication is critical. Provide easy-to-read benefit summaries, host live or virtual Q&A sessions, and use decision-support tools to help employees understand their options.
3. Focus on Cost Transparency
Employees appreciate knowing exactly how much coverage costs and what it does (or doesn’t) cover. Break down payroll deductions and highlight potential out-of-pocket savings. When employees understand the value, participation increases.
4. Time Enrollment with Major Life Events
While open enrollment is a standard period for sign-ups, consider additional touchpoints throughout the year–such as new hire onboarding or major life events like marriage or childbirth–where supplemental insurance could be most relevant.
5. Integrate with Your Health Plan Strategy
Supplemental benefits should complement your overall health plan strategy, not serve as a band-aid for inadequate coverage. If high deductibles are a concern, accident or hospital indemnity insurance can help bridge the gap. Ensure that your voluntary benefits align with your company’s approach to cost control and employee well-being.
By simplifying options, educating employees, and integrating these benefits into your broader strategy, you can transform supplemental insurance from an afterthought into a powerful tool for financial security and employee satisfaction.
Louis Bernardi
Founder | “the Benefits Whisperer”, BritePath