Mitigating health care costs in 2021 hinges on the right digital shopping tools

Digital health care shopping tools provide employees the resources they need to make informed, confident medical decisions.

Many businesses today are at an impasse: how to ensure employees have the best, most affordable care options while also managing their own costs. (Image: Shutterstock)

Financial security has and always will be a priority for employees and employers alike. However, the past few months have exacerbated consumers’ concern over their finances, leaving nearly 9 in 10 Americans worried. What’s more, half of Americans are concerned they will go bankrupt because of a medical issue, specifically. According to a recent study from academic researchers, 66.5% of all bankruptcies are tied to medical expenses, whether it’s due to costs of care, prescriptions or time out of work.

Not surprisingly, employees are increasingly turning to their employers for tools and resources to help them save on medical expenses. Nearly 60% of employees with employer-sponsored health insurance report that they are looking for more ways to save on their benefits, according to data from Sapphire Digital’s latest survey. While employers continue to offer benefits that address employees’ physical and financial health separately, they may be missing a vital tool that bridges the gap between the two.

Related: 3 health care trends fueled by the COVID-19 pandemic

Digital health care shopping tools provide employees the resources and vital information they need to make informed, confident medical decisions that save both them and their employer money without sacrificing on quality of care. When you consider the detrimental side effects that stem from financial insecurity for both businesses and employees, it’s becoming critically more important to offer digital tools with a proven record of lowering health care costs.

The risks of financial insecurity

Employees are more stressed than ever over their finances. Emergency funds are running low, meaning financial insecurity could become an increasing problem for consumers as they plan for the new year. In today’s unstable economy, the increased pressure on a person’s financial wellbeing can be overwhelming and studies show increased stress can have life-changing and negative impacts on a person’s overall physical health as well.

With employees’ physical and mental wellbeing at stake, employers can take on a greater role in ensuring they have the tools they need to better manage their workforce’s financial wellness. Employers should also prioritize these tools because stress can cause a lack of focus at work, resulting in decreased productivity and poor employee engagement which can adversely impact a company’s bottom line.

There are many benefits that employers can offer to help employees address the root causes of their stress. In the new year, however, a key stressor will be medical costs, as health benefit costs are expected to increase. The good news is there are digital tools available that are easy-to-use and save both employees and their employers money on health care expenses.

Finding the answer in digital tools

Many businesses today are at an impasse: how to ensure employees have the best, most affordable care options while also managing their own costs. Business leaders are constantly looking for any and all options to save themselves and their employees money. Encouraging employees to take their health into their own hands, make informed care decisions and be more confident health care shoppers is the answer.

Offering employees digital, easy-to-understand, personalized applications based on data intelligence empowers them to easily compare care options and make the best cost, quality and location decisions for themselves and their families. In cities across the nation, an ACL repair ranges in price depending on the location – for example, in Dallas, Texas it ranges from $9,959 up to $44,229. Leveraging these tools to research care options allows employees to find the best care at the best price.

Businesses and consumers alike are finding themselves struggling to remain financially stable and are looking for unique ways to cut costs. Health care should never be an area in which employers sacrifice employee wellbeing to save a few bucks, consequently impacting employee engagement and overall productivity. However, digital tools that encourage and redirect employees to choose more cost-effective care options to save them and their employer money, making it a win-win for everyone. In today’s world, we could all use a win, especially if it means having access to affordable and high-quality care.

Kyle Raffaniello is the CEO of Sapphire Digital.


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