Workers Spend 30 Minutes on Benefits, Risking Costly Mistakes

Employers are significantly investing in employee benefits programs, yet complex materials and limited guidance leave workers vulnerable to costly coverage mistakes. Aflac's 16th annual WorkForces Report reveals that while companies continue to offer benefits despite sharply rising costs, employees dedicate minimal time to decision-making.

The study, surveying 1,000 employers and 2,001 employees, found 65 percent of employers reporting a significant increase in benefit costs over the past year. Despite this, nearly 60 percent of businesses intend to expand their benefit offerings. One-third plan to broaden health and financial options, while 25 percent aim to strengthen existing coverage.

Many companies view benefits programs as crucial tools for productivity and retention. Nearly half of managers ranked robust benefits as key to employee engagement and satisfaction, surpassing training, technology, and workplace culture. Additionally, 27 percent of employers believe benefits contribute to a healthier, more productive workforce.

As costs escalate, more employers are shifting expenses to employees. Seventy-five percent of employers plan to do so rather than reduce coverage. This could result in employees bearing higher premiums (35% of cases), increased deductibles (32% of cases), or greater copayments (26% of cases).

The findings highlight a need for improved guidance and clearer information for employees to make informed benefit choices, thereby avoiding costly errors and ensuring they receive the most suitable coverage.