This video explains how open enrollment is the annual period when you can make changes to your insurance coverage and the difference between active and passive enrollment.
- When your job has an active open enrollment, it means you must make a decision regarding your insurance coverage. If you want coverage, you need to sign up for it during this period. If you don’t sign up, you won’t have coverage.
- In contrast, passive open enrollment means that your previous insurance choices will be automatically renewed for the upcoming year if you don’t make any changes. You will continue with the same coverage as the previous year unless you actively adjust it.
- It’s essential to understand the type of open enrollment your employer offers. If it’s passive, and you don’t make changes during the enrollment period, you’ll be stuck with the same coverage until the next open enrollment.
- While most companies are required to notify employees about open enrollment, it’s not guaranteed that all of them will do so. Take the initiative to inquire about the insurance offerings for the upcoming year if your employer doesn’t communicate it clearly.
- Open enrollment is an opportunity to assess your insurance needs, consider changes in your life, and choose the coverage that suits you best. Plan ahead and make informed decisions during this period.
