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Key takeaways:
- Many employers are reviewing their group health coverage and other benefits ahead of the open enrollment period.
- Brokers can help by discussing the latest compliance requirements and offering options that cut costs while providing more value.
- For employers looking to move away from traditional vision insurance, prepaid plans are a great way to preserve vision benefits.
August can be slow for brokers, but don’t be fooled. It’s the calm before the storm as employers prepare for Q4.
Between reviewing benefits packages and tax-filing requirements, this kind of prep work is getting harder due to increased regulations. Add to that the rising frustration with traditional insurance products and the open enrollment period coming in the fall, and you have the perfect conditions for employers looking to update their benefits packages.
Read on for an important update on Oklahoma vision plans for brokers so you can enter Q4 with up-to-date industry knowledge.
What’s Changing for the 2025 Enrollment Period?
With Oklahoma’s open enrollment period starting in November, many companies will review their group health insurance plan over the coming months. Rather than waiting until the end of the year to look at other benefits, HR teams typically review all benefits at once.
Here’s what’s different this year:
- New compliance requirements for health plans include more transparent pricing, no surprise bills, and online self-service price comparison tools. This only applies to health products, but employers and employees will expect the same level of transparency for all products, including vision plans.
- Employers need to maintain a plan document for Section 125 plans, which employees contribute to with pre-tax dollars. This is not a new rule, but the IRS is emphasizing proper documentation.
- Other benefits need summary plan descriptions. Q4 is a good time to update these documents and ensure employees have access to them.
- For employer-sponsored retirement benefits that fall under ERISA rules, keeping plan documents up to date helps with filing Form 5500 later during tax season.
As a broker, you can prepare for November with the three simple action items:
- Offer customized benefits package reviews so you can identify compliance issues and tax-filing requirements.
- Go over your portfolio to make sure you offer products that follow the latest rules for pricing transparency.
- Look into prepaid plans. As more employees and employers expect transparent benefits, prepaid plans stand out with their simple pricing structure.
Updates on Oklahoma Vision Plans for Brokers: Bracing for Higher Costs
A major trend is shaping Q4 benefits renewal this year. Health costs are going up, and experts are predicting an increase as high as 8.5%. The other trend to watch out for is the cuts to Medicaid and ACA subsidies. With 300,000 Oklahomans relying on these subsidies, these changes could leave many without coverage.
Here’s what it means for employer-sponsored benefits:
- Without subsidies, employees will rely more on employer-sponsored health plans, and enrollment rates could go up for optional benefits.
- At the same time, higher health costs drive insurance premiums up.
Many employers are reviewing their benefits package in light of higher costs and increased usage for Q4:
- They are looking for ways to save while delivering the most value possible.
- Extras like dental and vision insurance might be the first things to go.
For brokers, it’s time to introduce alternatives with more value, like prepaid vision plans. In fact, these plans meet many of the expectations shaping Q4, from transparent pricing to great value. Plus, you can select Section 125 plans that employees pay for with pre-tax dollars to help employers save while preserving the value vision benefits represent for employees. Overall, prepaid plans are a great way to preserve vision benefits for employees while allowing more cost control.
How to Help Employers Prepare for Q4
Brokers can help employers prepare for the future by becoming their go-to source of information and guiding them as they update their benefits packages.
- Start by reaching out to HR teams and talking about the unique challenges awaiting in Q4.
- Your understanding of plan compliance issues can be a differentiator. Talk about ERISA rules for retirement plans and new self-service pricing requirements for health products.
- Develop your own tools for quickly assessing whether the products in your portfolio meet all these updated rules.
- Share compliance checklists for creating plan summary documents and keeping Section 125 plan documentation up to date.
- Traditional vision insurance products are hard to navigate due to unclear marketing claims and pricing that doesn’t feel transparent. You can help with insights on products and alternatives like prepaid plans.
Connecting with customers to do a Q4 review is also an opportunity to discuss their future plans for hiring and review industry trends in this area. It’s a good time to review whether their benefits still strike the right balance between being competitive and keeping costs down.
Prepaid Vision Plans With VCD
Before reaching out to employers ahead of Q4, you should review the products you offer and determine whether they meet the latest compliance requirements and changing expectations.
Prepaid vision plans are a great pick for employers looking to move away from traditional vision insurance products, and VCD can help you address this need.
With flexible Section 125 plans paid for with pre-tax contributions and a transparent pricing structure, VCD prepaid vision plans align with what many employers are looking for. Plus, employees get excellent value in the form of savings at local Oklahoma optometrists.
Learn more about becoming a VCD broker.
FAQ
What are the new requirements for employer-sponsored health plans?
As of 2025, employer-sponsored health plans need to include self-service price comparison tools, more transparent pricing, and no surprise bills.
What are the top benefit-related concerns for employers going into Q4 2025?
Rising health costs mean employers have to spend more to provide benefits or shift the costs to the employees.
What are the main trends shaping benefits for Q4 2025?
Employers are focusing on reducing costs while providing value. They also expect more transparency, both for compliance and convenience reasons.
What makes prepaid vision plans different from traditional insurance?
Prepaid vision plans are easier to navigate since they provide employees with prenegotiated savings rather than reimbursements. Employees also tend to save more and have a better understanding of their benefits.
