Why do we have "open enrollment" for insurance changes?
March 17, 2010 6:21 AM Subscribe
What problem does "open enrollment" solve for employers or insurance companies?
posted by Houstonian to work & money (11 answers total) 1 user marked this as a favorite
Most (all? all in the US?) health insurance plans offered through employers come with an open enrollment period, during which you can make changes to your plan. Why do we have this, instead of a rolling period in which each person can make changes once a year, from their start date?
I understand why insurance companies would not want people to make changes every few months. But why not have it a rolling date, where it's once per every 365 days from the person's start date? How does this benefit either employers or health insurance companies?