Waltham, MA — June 26, 2017 — Brokers and employers are critical to the proliferation of consumer directed healthcare (CDH) benefits in the market (including high deductible health plans and account-based offerings such as FSAs, HSAs, and HRAs) – as well as the consumer’s ability to comprehend and realize their value. A report released today by CDH solution provider, Alegeus, reflects an industry problem – while brokers and employers understand the strategic value and impact account-based benefit programs bring to the market, they still need significant support to maximize adoption and realize the full value consumer directed healthcare can deliver.
With 60 million CDH accounts in the market as of 2016 and an 11% estimated compound annual growth rate (CAGR) from 2014 to 2020, 86 percent of brokers and 74 percent of employers rate CDH to be a critical component of their future benefits strategies and an essential tool to combat the rising cost of health benefits. To maximize the impact CDH programs can have, brokers and employers must be supported to ensure that benefit designs and communication strategies are effective and CDH programs deliver on their promise of cost savings, greater control over healthcare spending, and greater employee satisfaction – rather than a mechanism to purely shift costs.
Survey findings revealed the following insights regarding account-based benefit offerings:
“Beyond our market-leading CDH platform, Alegeus partners with clients to develop educational content and engagement programs that build employer and consumer CDH fluency,” said Steven Auerbach, Alegeus CEO. “Alegeus leverages market insights, trends, and best practice knowledge garnered through our experience supporting 40 percent of the market’s CDH accounts to recommend the most impactful plan designs and deliver year-round engagement programs that maximize adoption, empower savvier decision-making, and optimize outcomes.”
Learn more about the Alegeus research:
About Alegeus Contact: Jennifer Irwin
Alegeus is the market leader in consumer directed healthcare solutions, offering the industry’s most comprehensive platform for the administration of healthcare benefit accounts (including FSAs, HSAs, HRAs, wellness incentive, dependent care, and commuter accounts), the industry’s most widely-used benefit debit card, and powerful engagement solutions to help consumers maximize savings and optimize spending for their healthcare. Over 300 clients – including health insurance plans, third party administrators and financial institutions – leverage Alegeus’ deep expertise and proven technology to administer benefit accounts for more than 30 million members and process more than $9.1 billion in consumer healthcare payments annually. As the healthcare and benefit markets continue to evolve, Alegeus delivers solutions that enable clients to evolve their service offerings, operate their businesses more efficiently, and focus on their customers. The company is headquartered in Waltham, MA with operations in Orlando, FL and Milwaukee, WI.