19119_Authority_April_2026

28 The Authority │ April Open Enrollment Done Right: Common Mistakes to Avoid By Clyde Villa, National Insurance Services Open enrollment is a busy time with a high risk for mistakes that can lead to employee confusion, missed benefit opportunities, and legal risk for employers. Here are five common compliance mistakes employers should avoid making at open enrollment time: Mistake: Not Communicating Benefit Changes Clearly Employers routinely update benefit offerings before open enrollment to stay competitive and enhance satisfaction. These changes, ranging from new options to adjustments in cost sharing and coverage, can result from business decisions, insurer requirements, or federal and state mandates, including annual updates to high-deductible plan limits and compliance with evolving insurance laws. Ahead of open enrollment, clearly identify and communicate all benefit changes so employees can make informed choices. Start early, leverage multiple channels, keep messages simple, and use practical examples to drive understanding. For ERISA benefits, communicate changes with an updated Summary Plan Description or Summary of Material Modifications. Maintain and periodically review your written plan document to ensure compliance. Mistake: Failing to Provide Required Health Plan Notices Employers should include key benefit notices in connection with their plans’ open enrollment period. Some notices must be provided at enrollment time and other notices must be distributed annually. Many employers elect to include the annual notices in their open enrollment materials too for administrative convenience. The following health plan notices are often provided in connection with annual open enrollment: • Summary of Benefits and Coverage (SBC) • Summary Plan Description (SPD) • Children’s Health Insurance Program (CHIP) Notice • Initial COBRA Notice • WHCRA Notice • Medical Part D Notice • Grandfathered Plan Notice • Notice of Patient Protections • Health Insurance Portability and Accountability Act (HIPAA) Privacy Notice • HIPAA Special Enrollment Most health plan notices can be sent electronically if they comply with certain rules and delivery ensures recipients actually receive the information. Continued on page 59.