How To -- Configure Increase/Decrease Benefit Premiums Based on Specific Criteria

Purpose Statement (KB0015356)

This document outlines the steps for configuring benefit plans that will automatically increase or decrease benefit premiums based on specific criteria

Coverage Level Miscellaneous Settings Widget

1. Custom fields can be defined for a benefit plan by using the Define Fields link in the Custom Field Settings widget. These fields can then be visible or required for employees when reviewing benefit plans for enrollment

• Enabled for Employee: Check to make this field available to the employee
• Required for Employee: Check to make this field required to the employee
• Enabled for Dependents: Check to make this field available to the employee for their dependent information
• Required for Dependents: Check to make this field required to the employee for their dependent information
• Hide from Employee: This field works independently from the other fields and cannot be used in conjunction with other settings. This setting, when checked, will hide the custom field from the employee’s view during open enrollment, new hire enrollment, and life events. This field will be available for a manager or administrator to populate it on behalf of the employee
• Affects Premium: When the Is List is enabled within the benefit Custom Field, an option for Affects Premium becomes enabled in this widget. When checking this option, premiums for the plan can be specified for a flat dollar amount or a percentage of the premium. When the employee is enrolled in the Benefit Plan and makes a selection from the custom field list, an adjustment to the premium will be made based upon the selection. When the Flat $ Amount is selected, the value is applied to the Monthly Premium, not the per pay period amount.

Setting Up Custom Fields

1. To set up a custom field, click on the Define Fields in the top right of the Custom Field Settings Widget. Make sure you save your work before navigating to this area.
2. Click on Add New Field in the top right corner to add a new custom field.
3. You will be taken to the custom field set up screen

• Enabled: Makes this custom field active for benefit plans
• Label: Allows you to name the custom field
• Description: Allows you to add a description to the field
• Type: Allows you to select what type of answer you are looking for in the field
• Maximum Length: The maximum length the answer in the field can be
• Default Value: If there is a default answer you want to show in the field, fill it in here
• Sort Order: The order in which the field will appear
• Is List: To use the premium adjustment functionality, the Is List option must be checked
  • Click on Add once you check the Is List option
  • This will open a set up screen for the first option to choose from for this custom field
• Item Value: The label for this option to be selected for the Custom Field
• Item Code: Allows you to assign a code to this option
• Premium Adjustment: You can enter either a positive or negative flat amount or % of premium to adjust the EE portion of the premium if this option is selected in the Custom Field (If reducing employee premium, enter a negative amount here)
• Click Add when done

4. Once all of the items have been set up, navigate back to the applicable plan and choose the selection to have this custom field enabled/required for the employee and/or dependents, and enable the option for “Affects Premium”

 

5. Once you check the Affects Premium box, another box for ER Premium Adjustment will appear. Check this box to have the ER portion of the premium offset the amount of the EE adjustment.

 

Note: You must have an employee premium offset to be able to offset the employer amount. The employer amount will be in direct proportion to the employee offset amount and cannot be independently adjusted.