5 technology and data trends affecting employee benefits

Technology and data frequently go hand in hand to power the latest innovations in the benefits industry. New solutions as well as evolving applications of existing technology and data analytics continue to emerge at a rapid pace, making it critical that brokers and benefits specialists stay on top of the latest trends in this space in order to help their clients make informed decisions about how to implement programs that will be most effective for their workforce.

Read on to learn more about the top trends currently impacting health and benefits:

1. Personalization

While not necessarily new, this is one trend that continues to evolve and demonstrate its value. Utilizing data, including claims, user behavior and more, enables programs to identify gaps in care and create targeted outreach and communications to more effectively connect with employees. These communications can encourage employees to address medication adherence issues, prescription savings opportunities and recommendations to participate in programs or utilize tools that might be beneficial, among other personalized messages to take positive behavioral steps toward better health and well-being.

A 2016 Health Advocate study found that 40 percent of employees cite the lack of “communication personalized to my specific health needs” as a core flaw in their organizations' benefits and wellness initiatives. Accustomed to the increasingly individualized experience brands in retail, travel and hospitality are laser-focused on offering, employees expect more from their corporate benefits programs.

Data is instrumental in tailoring the content of messages, but equally critical is implementing technology that enables organizations to also customize the communications channel to meet employees' preferences. By combining personalized health and benefits messaging with the option to let employees select their channel of choice, organizations are more likely to cut through the clutter of information people receive on a daily basis.

2. Digital navigation

In order to improve outcomes, reduce costs and retain employees, employers frequently implement an increasing array of benefits programs to meet the needs of their workforce. However, this fragmentation has the tendency to create confusion and complexity, with employees unsure where to turn when facing health or benefits challenges. To remedy this, an increasing number of organizations are incorporating a digital hub or portal that ensures employees can seamlessly navigate and access the resources they need, while simultaneously supplementing traditional methods like communications outreach and telephonic support.

Connecting benefits programs in a centralized digital hub reduces employee confusion by unifying data from a myriad of sources and programs in one place and personalizing the experience to meet each employee's needs and preferences. That includes benefits information, essential phone numbers, health care expense and chronic disease management tools, and health savings account (HSA) balance management from a single online or mobile engagement platform, for example.

When employees only have to remember one place to go, they are more likely to utilize available benefits, making it more likely employers will realize the potential value of the programs they are offering.

3. An improved user experience

Enhancing the employee experience means meeting them where they are to make engaging in their benefits programs as easy as possible. The programs that understand this concept best are actively engaged in a transition to mobile instead of or in addition to web platforms. People are increasingly attached to their smartphones 24/7, so making it convenient to access and engage with their benefits via their devices is critical to improving both their experience and utilization.

Examples include enabling users to take pictures of and securely upload necessary documents with their phones, schedule upcoming appointments or calls, connect with experts via in-app chat features, and more. Ensuring users can fully engage with a benefits program using their smartphone or other device creates a simpler, enhanced experience that drives utilization.

4. Robust integration

In addition to connecting benefits programs via a hub, further integration with other external tech or data sources provides additional value for both employers and employees. For example, developing programs to integrate medical devices for employees with chronic conditions can improve adherence with recommended treatments and help close gaps in care. While the number of disease states available is currently limited to diabetes and hypertension, along with a few others, having a glucose or blood pressure monitor available to employees at home that communicates and notifies either a care manager or provider when someone is out of recommended range can help address the issue sooner, improving outcomes and reducing costs.

Additionally, integration of electronic health records is also gaining momentum. When available, likely in the near future, having all data in one place will provide individuals and third-party program providers (compliant with privacy guidelines) a broader view of an employee's health, enabling more effective guidance to close gaps in care.

5. Data-driven benefit design

While data analytics can be utilized to improve the individual employee experience, brokers and organizations are also looking at how this information can be used more broadly to reduce costs. As an example, claims data can pinpoint which providers—including doctors as well as hospitals and other health care facilities—are the best value, providing high quality, cost-effective care. Organizations can use this data to build a narrow network that drives employees to specific providers to more effectively manage costs and improve outcomes across the entire covered population.

Data can also play a key role in how organizations determine which benefits to offer—looking at utilization, demographics, claims and more provides brokers, carriers and employers with an in-depth look at how benefits are being used, which are most effective, and more. If a program is under-utilized, it may be adapted or discontinued in favor of prioritizing a program that has a higher value or return on investment.

Analytics-based benefits design will continue to grow in the near future as employers continue to seek ways to reduce costs while improving both engagement and outcomes. The use of technology and data in benefits is dynamic and ever-changing, but carefully considering how and when to implement new programs or applications can have a significant impact on engagement, outcomes and medical costs. It's an ongoing process that requires brokers and consultants to stay abreast of the latest trends and understand which will be best for each of their clients and their unique goals.

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Marcia Otto is vice president of product at Health Advocate. Dan Shields is vice president, product specialist.

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