Choosing the right employee benefits plan is one of the most important decisions an employer can make. A well-designed plan helps you attract top talent, support employee wellbeing and build a resilient workplace culture. When the process is rushed or misinformed, it can lead to costly mistakes.
Here are the top five mistakes Canadian employers often make when selecting a benefits plan & how you can avoid them.
1. Focusing only on cost… not value.
It’s natural to consider price when comparing benefits plans, especially for small to mid-sized businesses that are watching their budgets closely. However, the lowest premium doesn’t always equate to the best value.
What to do instead:
Consider what’s covered, the level of flexibility offered and how well the plan aligns with your team’s needs. A slightly higher investment may result in better health outcomes, fewer sick days and greater employee loyalty.
2. Choosing a one-size-fits-all plan.
Employees aren’t all the same, so their benefits shouldn’t be either. Offering a rigid, cookie-cutter plan can leave team members feeling under-supported.
What to do instead:
Explore flexible benefits, modular options, or Health Spending Accounts (HSAs) that empower employees to choose what’s most relevant to them. It could be dental care, mental health services or vision coverage.
3. Overlooking the needs of a diverse workforce.
Today’s workplaces include a wide range of ages, family structures and cultural backgrounds. A plan that works well for a 30-year-old single professional may fall short for a parent with dependents or an older employee managing chronic health conditions.
What to do instead:
Survey your team to understand their priorities. Ensure your benefits plan includes inclusive options for your whole team.
4. Not thinking about long-term growth.
Many companies choose a benefits plan based only on current headcount. But as your business and employees grow, your plan needs to scale too.
What to do instead:
Working with an advisor who understands your long-term vision is key. Choose a benefits company that offers scalability and supports your team as it expands.
5. Failing to communicate the plan effectively.
Even the best plan is useless if your employees don’t understand what’s available or how to access it. This leads to low engagement, frustration and under-utilization. Which leads to wasted investment and finances.
What to do instead:
Make employee education part of your rollout. Use onboarding checklists, benefit booklets, Q&A sessions or short videos to explain the plan clearly. Revisit communication at renewal time or when changes occur. Use our HR services to help with rollout to ensure your company knows and uses the plan correctly.
Navy & Sage Benefits is your answer.
Avoiding these five common pitfalls can save you time, money, and frustration. Focusing on what you can do instead will position your company as an employer of choice. A benefits plan isn’t just a line item on your budget – it’s a tool to build trust, support wellbeing and strengthen your team.
Need help designing or reviewing your plan? Navy & Sage Benefits specializes in crafting unique, customizable benefits solutions for companies just like yours. Start with a phone call today.
