What are the next steps in health care?
The intersection of the pandemic and presidential election has (and will) significantly change health care coverage and how medical benefits will be purchased in the near-term.
Consumerism, powered by the Internet, mobile devices, and online marketplaces, makes it easy to identify and purchase group health care insurance conveniently, without compromising quality of coverage and service.
Let’s take a look at a few key drivers that are shaping the future of health care, including online health care portals, telehealth services, and health care savings accounts.
Online health care portals
Progressive insurance brokerage firms are currently working to offer online portals to aggregate group health plans and provide tools to put business owners, brokers, and HR professionals in the most optimal position to determine which health care plan is ultimately best for businesses and employees.
Web-based portals and mobile apps are driving innovation in how health care benefits are researched and purchased, while providers are utilizing technology to provide in-person and telehealth services. Employers are provided with convenience, better choices, and value at less of a cost.
Online platforms enable employers to make educated decisions based on the data that is provided. In today’s COVID-driven remote world, online portals allow employers to compare carrier options, deductibles, and co-pays virtually, without ever having to meet in person with a broker to discuss their specific needs.
Health literacy
Health literacy in the United States is extremely low. It’s extremely important that employers take initiative beyond the open enrollment process to impart benefits knowledge amongst their employees. Providing the right amount of service and tools to employees is the informational power to make a change.
I believe this will become the new standard, as we start to see an increase in brokers offering this information to their customers as just one of the many services they provide.
Hospital price transparency
Every hospital in the United States will be required to provide clear, accessible pricing information online about the items and services they provide. This price transparency rule took effect January 1st, and this information will be provided in two ways: As a comprehensive machine-readable file with all items and services and in a display of shoppable services in a consumer-friendly format.
This rule makes it much easier for consumers to compare purchase and prices across different hospitals and evaluate the cost of care before visiting the hospital. This level of transparency allows consumers to educate themselves and empowers staff with a more comprehensive way on how to retrieve pricing when doing research.
Telehealth services
The pandemic has spawned many virtual and contactless business models. Telehealth services are being embraced to help automate the service experience and help consumers access health care services and manage their health care. Tools such as Healthcare Bluebook and GoodRX are improving the patient experience in today’s digitized, fast-paced world by empowering patients to make informed decisions and offer discounted prices for certain medications.
Millennials have overtaken baby boomers as America’s largest generation. The strategies health care providers plan to use in order to reach this demographic will certainly impact their bottom line in the years to come. Telehealth options offer a way to improve communication amongst millennials utilizing channels that they are familiar with and use often. Also, the pandemic has drastically changed health care. Many individuals are actively avoiding doctors’ offices and health care facilities to reduce the risk of getting sick.
Healthcare savings accounts
Additionally, healthcare savings accounts (HSA) are gaining traction for organizations with younger workforces. They offer a more a flexible tool that gives employees control over how their health care dollars are spent.
Millennials tend to require less health care services compared to the older generations. Assuming they only need an annual physical and dental cleanings and checkups twice a year, the costs are extremely low. When it comes time to see a doctor or health specialist, millennials can look over their choices and leverage their HSA to cover the cost.
Related: Employee HSA confusion is an opportunity for advisors
HSAs are interest-bearing accounts that will accrue interest in time. As a result, they can be used as a long-term investment account, especially for younger employees. The end goal of HSAs is to reduce health care costs and provide choice. Setting up an HSA is one of the smarter financial decisions a millennial can make to prepare for the uncertainty that the future brings.
Online marketplaces, telehealth services, and HSAs represent the future of health care as consumerism continues to transform the industry and the millennials continue to take over the workforce.
Steve Rosenthal is one of the most widely recognized leaders in the employee benefits and human resource industry. Before becoming CEO of Triton Benefits and HR Solutions, Rosenthal was the CEO and pioneer of CheckPoint HR. Rosenthal previously served as Chairman of EPIX of what became under his leadership, one of the largest human resources outsourcing companies in the country.