If you haven't heard, LIMRA’s LDEX committee released BEM version 2.0 to the industry. Noyo is an LDEX member and helped guide development of this standard based on the advanced capabilities of our proprietary data schema and API integrations with insurance carriers. It’s crucial to understand what this new version enables, especially if you're thinking about improving the member experience.

This post will delve into what BEM 2.0 is and is not, the essential aspects of the update, and how Noyo can help you transition smoothly. Watch the summary video below or keep on reading.

Resources mentioned in the video:

• Upcoming webinar with head of LIMRA's LDEX committee

• Noyo Advisory program for insurance carriers

• Free, introductory API workshop

What BEM 2.0 is not

First things first, BEM 2.0 is not a new format. If you've already implemented BEM 1.0 or 1.3, you're in good shape. LIMRA has improved the documentation and introduced some new coverage types like wellness and pharmacy, but the schema remains largely unchanged. In essence, if your system is built for the older versions, you’re well positioned to transition to 2.0.

Key changes in BEM 2.0

So why go with BEM 2.0? The most significant update is that we finally have an industry standard for a RESTful API. Previous versions like 1.0 and 1.3 were designed for batch processing—your traditional EDI. Noyo has long been leading the charge in helping companies transition away from file-based data exchange, and now with BEM 2.0, the industry has a standard for real-time transmissions.

Real-time is a better member experience

So, what does this mean? Imagine enrolling in a benefit and not having to wait a week for it to process. With EDI, new hires often have to wait weeks to access their benefits and potentially pay out of pocket for claims during that period. Eligibility updates have to be sent in batches, and an error with a single member update can affect the entire batch.

With BEM 2.0, enrollment details can be sent immediately as they happen, there’s no need to queue a file or package every enrollment change together. This enables a near real-time enrollment experience for members, and it’s a big step forward for the industry.

Data transparency for connected platforms

The second key feature of BEM 2.0 is data transparency. Unlike batch processing via EDI, APIs enable you to both send and retrieve information. Carriers, listen up! You're going to want to build capabilities to retrieve member data through the LDEX BEM 2.0 endpoint. Think about Amazon’s tracking system. You place an order, and you can track its progress every step of the way, all the way to your doorstep.

Similarly, with BEM 2.0, platforms are one step closer to the round-trip confirmation experience Noyo has pioneered in our industry. Round-trip confirmation allows platforms to monitor progress and confirm success of member changes in near real-time, and the BEM 2.0 endpoint can support similar capabilities. No more “sending the mail” and hoping for the best or waiting for carriers to generate error reports to surface issues. Platforms can retrieve the information they need in a more self-serve way, and they can offer a better experience to members because of it.

The road ahead: implementing BEM 2.0

While this release is exciting, we don’t expect carriers to transition to BEM 2.0 immediately. When BEM 1.0 was launched, it took time for widespread adoption. However, as Noyo CEO Shannon Goggin often says to challenge the industry, "Be first. Not third." If you're a carrier or a benefits administration platform, start thinking about incorporating BEM 2.0 into your roadmap for 2025. This update is a significant step forward in terms of technical capability and the member experience – the sooner you get onboard, the sooner you can benefit from it.

How Noyo can help

Here are a few ways, Noyo can help you make progress in adopting BEM 2.0 and accelerating the transition to APIs:

Interested in BEM 2.0? Join our upcoming webinar

In our next webinar “Unlocking the future of benefits” on October 2nd, we’ve invited Cory Gardner, who leads LIMRA's data exchange committee. We'll dive deeper into BEM 2.0 and have a broader conversation about the pace at which the industry is advancing and the practical steps companies are taking to make progress. Even if you can't make it, sign up anyway. We'll record the session and send it to you so you can view it at your convenience.

Thinking about APIs? Check out Noyo Advisory

Noyo Advisory is a new offering that’s aimed at carriers who are developing APIs and other new technologies. Noyo evaluates your strategy, co-develops solutions, and tests your API infrastructure. This includes assessing the operating model, tooling, and overall readiness to bring your technology to market. Through this program, leading national carriers have confidently launched APIs and accelerated adoption within months, not years.

Free Introductory Workshop to get started

For carriers who are interested in our advisory program and technology transformation more broadly, we're offering a free, introductory workshop to get started. It’s titled "API Best Practices and Pitfalls", and it’s aimed at bringing all of the right stakeholders in your organization together to have the important discussions that need to happen to make progress faster. The workshop is led by Noyo CEO Shannon Goggin and Director of Customer Solutions Daryl Hemeon. You can learn more here.

We hope you’re as excited about BEM version 2.0 as we are. And of course, Noyo is happy to help insurance carriers and benefits software platforms offer the most advanced API capabilities available in market today. Reach out here to ask us questions.