The SMS Advantage: Why Text Messaging is the Secret Weapon for Health Insurance Open Enrollment and Utilization
Open enrollment is one of the most important (and most stressful) times of the year for employers. Employees are asked to review complex health insurance options, make time-sensitive decisions, and submit elections correctly, all within a short window.
Yet many employers still rely almost entirely on email. The problem? Email alone doesn’t work anymore.
Employees miss messages, procrastinate, or feel overwhelmed — leading to low plan utilization, last-minute scrambling, and increased administrative burden on HR teams. Text messaging changes that.
When used correctly, text messaging helps employers:
Increase health insurance plan utilization
Reduce employee confusion
Get through open enrollment faster
Lower HR support tickets and follow-ups
Let’s break down why text messaging works and how employers can use it effectively.
Why Text Messaging Works for Open Enrollment
Text messaging meets employees where they already are; their phones. 98% of text messages are opened, and most are read within minutes. Compare that to email, which is often skimmed days later (if at all).
For health insurance specifically, texting helps by:
Prompting employees to take action (“Enroll by Friday”)
Reinforcing key messages sent by email or HR meetings
Providing quick, simple answers to common questions
Reducing confusion that causes employees to delay decisions
When employees feel supported and informed, they are far more likely to actually use their benefits, not just enroll in them.
How Text Messaging Improves Health Insurance Plan Utilization
Enrollment is only the first step. Utilization is where employers see real value.
Text messaging helps employees:
Understand what their plan actually covers
Know where to find doctors, ID cards, and benefits portals
Remember to use preventive care (annual visits, screenings, etc.)
Ask quick questions without feeling intimidated
Employees who understand their benefits use them more effectively, which leads to:
Higher perceived value of benefits
Fewer complaints about “confusing insurance”
Better employee satisfaction and retention
3 Essential Tips for Text-Powered Open Enrollment Success
To effectively complement your traditional HR messaging with text, here are three simple but powerful tips:
1. 📞 Ensure Your HRIS Has Up-to-Date Cell Phone Numbers
This is the non-negotiable first step. Your sophisticated communication strategy is useless if you don't have the right contact information.
Action: Launch a simple campaign before open enrollment to verify or collect current employee cell phone numbers. Use a quick online form and clearly state that the number will be used exclusively for time-sensitive, high-priority benefits and HR updates. Compliance with consent is key, so make the opt-in process clear.
2. 📝 Keep it Short, Simple, and Action-Oriented
Text messages should not be a replacement for your detailed benefits guide. They should be a beacon, directing employees to the right resource at the right time.
Action: Use texts exclusively for deadlines, announcements, and direct links.
Bad Text: "OE is now open. We have a new high-deductible plan and an HSA option. Read your full guide for details on deductibles and coinsurance."
Good Text: "ACTION REQUIRED: Open Enrollment is NOW OPEN! Enroll by [Date] at [Link to HRIS/Portal]."
3. 📅 Schedule Timely, Targeted Reminders
A multi-channel, phased communication strategy works best. Use text messages for the critical moments when engagement is essential.
Action: Schedule your texts to be deployed in three main waves:
Pre-Enrollment: An alert that the enrollment window is opening soon.
Mid-Enrollment: A reminder targeted only at employees who have not yet completed their enrollment.
Final Countdown: An urgent message 48 hours before the deadline.
3 Tools to Implement Text Messaging for Your Benefits Communication
Getting started with SMS doesn't require a massive budget or tech overhaul. Here are three user-friendly tools, including a free option, to help employers roll out effective text campaigns:
Google Voice (Free): A no-cost solution from Google that's perfect for small teams or testing the waters. It provides a dedicated phone number for sending and receiving texts via a web interface or app. Integrate it with your HR tools for simple reminders, and it's compliant with basic TCPA rules—ideal for quick open enrollment nudges without breaking the bank.
Twilio: This robust platform offers scalable SMS capabilities with automation features, like scheduled sends and two-way messaging. It's great for larger employers needing integrations with HRIS systems or CRM tools. Pricing starts at a few cents per message, making it cost-effective for high-volume campaigns focused on utilization boosts.
SimpleTexting: An intuitive service with templates, analytics, and compliance tools built-in. It supports opt-ins, segmentation, and multimedia messages (like plan infographics). Affordable plans start around $29/month, and it's user-friendly for HR pros without tech expertise, helping streamline enrollment communications.
🤝 Is Your Broker Helping You Text?
The landscape of employee benefits administration is changing, and traditional methods simply don't cut it anymore. If your current health insurance broker is not proactively discussing and implementing a modern, multi-channel communication strategy—including text messaging—to drive utilization and simplify open enrollment, they are falling short.
We believe better health benefits start with better communication.
If you are an employer looking to streamline your open enrollment, boost employee engagement with your benefits, and simplify your HR administration, reach out to us today. Let’s discuss how we can partner with you to implement these and other innovative strategies that deliver real results for your business and your employees.
Ready to elevate your employee benefits communication?
Would you like to schedule a free 15-minute consultation to review your current open enrollment communication strategy and see how our approach can save your HR team time?