How APIs are changing the game for benefit administrators, employers and employees

The world of HR and benefits administration is taking a giant step forward. Thanks to the use of application program interfaces (APIs), the way HR and benefit systems connect and share information is evolving rapidly. Data can now be exchanged quickly and easily without the need for clunky file feeds.

What is an API?

Every time you use an app for social media, send an instant message or check the weather on your smartphone, you're using an API. An API is a set of functions and procedures that allows applications to talk to each other. APIs enable the power of connectivity by exchanging data quickly, accurately and easily between systems — all through a secure process.

Why APIs are a game changer

Unlike sharing data from system to system with cumbersome file feeds, APIs allow data to be exchanged in (or near) real time. When you place an order on your favorite coffee bar app from your desk, you can walk across the street and, within minutes, your grande oat milk latte is waiting for you. Plus, the best part is, you’ve already paid through your app! The system already knows your preferences and payment information because these data sets are stored and communicated through an API.

In the world of human resources and benefit program administration, the use of APIs is a very exciting step forward. Think about your new hires: How long do they have to wait before they can pick up a prescription covered by your benefit plan once they begin employment? Should an employee be diagnosed with a serious disease, will they know you have a special wellbeing program that can help them?

Through APIs, you can get new hires to the pharmacy quickly and ensure your employees know about time off, employee support and second opinion programs available to them during challenging times. Incorporating APIs into benefits administration and healthcare delivery will significantly enhance the employee experience, making your carefully curated benefit programs even more valuable.

Here are the key areas where we see APIs as a game changer in administration for carriers, employers and employees:

Moving forward

APIs are the future of data exchange; the rest of the world is using them to transfer information and complete such everyday interactions as buying coffee, checking social media and even banking activities. It’s time HR and benefits administration jump on the bandwagon and integrate APIs into all aspects of daily data sharing instead of the current batch data file feeds to enhance both the employee and the plan sponsor experience. WTW is committed to innovating and engaging with vendors so that, together, we can deliver the best possible employee experience at every stage of the benefit journey.