How Benefits Communication Can Support Employee Decisions Amid Rising Healthcare Costs

Healthcare costs continue to rise, and employers are under increasing pressure to manage expenses while still offering benefits that help employees and their families stay healthy, protected and financially secure. According to Brown & Brown’s 2026 Healthcare Cost Outlook, employers expect healthcare costs to increase an average of 10% in 2026 after plan offering changes, and 12% if no changes are made to plan offerings.

In response, many organizations are evaluating plan design changes, contribution strategies, vendor solutions, and navigation tools designed to manage cost and improve the employee experience. But even the most thoughtful benefits strategy can fall short if employees do not understand what is changing, why it matters, and what actions they need to take.

That is where communication becomes critical. When employers introduce new plans, adjust cost-sharing, change carriers or encourage employees to use lower-cost care options, they are not simply announcing a benefits update. They are asking employees to make decisions, compare trade-offs and, in many cases, change established habits. Employees need more than a reminder to enroll. They need clear, timely and relevant guidance that helps them understand how to make the most of the benefits available to them.

For employers, Open Enrollment is often the best opportunity of the year to capture employees’ attention and reinforce the connection between benefit choices, healthcare decisions and household finances. However, a passive, “same as last year” enrollment experience can make it easy for employees to overlook important details, even when those details have a meaningful impact on their costs or coverage.

Open enrollment communication strategies to support employee decisions

A strong Open Enrollment communication strategy can help employees recognize what is changing, understand the value of their options and take the actions needed to choose coverage with confidence. The following strategies can help employers move beyond awareness and begin influencing behavior.

Use clear messages and communication channels that reach employees

Start by evaluating whether your communication plan is designed to reach employees where they are. Are you using the right mix of channels, such as email, intranet, text messaging, manager talking points, virtual meetings or decision-support tools? Are messages being delivered early enough and often enough to create awareness before employees are asked to act? Most importantly, are your calls to action clear, specific and easy to follow? When employees know exactly what to do next, they are more likely to engage.

Send targeted messages to employees impacted by benefits changes

Not every employee needs the same message. If a change only affects a specific population, targeted communication can make the information feel more relevant and actionable. For example, if an employer is changing their Flexible Spending Account (FSA) administrators employees currently enrolled in the FSA need to understand what happens to their existing funds, how to access the new platform and what deadlines apply. The same approach can be used for carrier changes, network changes, new plan options or changes to prescription drug coverage. Targeted communication helps reduce confusion and gives impacted employees the practical information they need to transition smoothly.

Consider active enrollment for significant benefits changes

For significant changes, employers may want to consider  requiring employees to actively make benefit elections rather than allowing current coverage to roll over. Active enrollment can be especially useful when there is a benefits harmonization, medical carrier change, new plan lineup, major contribution change or multiple plan design updates that make passive enrollment difficult. While this approach requires careful planning from an administrative and operational perspective, it can also create a stronger engagement moment and help ensure employees review their options before making a decision.

Make communication part of benefits planning

As healthcare costs continue to climb, employers will need to make thoughtful decisions about plan design, cost management and employee affordability. Communication should be viewed as a strategic part of that process, not a final step before enrollment begins. By helping employees understand their options, anticipate changes and take meaningful action, employers can support better decision-making and strengthen the overall value of their benefits program.

Connect with Brown & Brown

Learn more about Brown & Brown’s comprehensive Employee Benefits services and solutions here.