Did you know that conservatively, 3% to 5% of your covered dependents are not eligible under the terms of your plan? In fact, it is not uncommon to find as many as 10% of covered dependents ineligible. The cost to your company can be staggering.
Dependent eligibility audits are not popular. However, with an audit comes opportunity. You can use an audit to:
- Reiterate the importance of financially sound plans
- Explain that ineligible dependents increase costs for everyone
- Educate employees on the plan’s eligibility rules
- Underscore that employer provided health is still a privilege (at least for the near term)