The CDH market has begun to stagnate. By harnessing modern technologies like AI and machine learning, the Smart HSA will improve the consumer experience, reduce employer costs, and help all stakeholders accelerate business growth through differentiation and improved consumer satisfaction.
Health benefit accounts have gained rapid traction in recent years. But what does the future hold for account-based benefit programs? What growth can we expect? And, what market forces are at play? To shed some light on these questions (and more) Mike Trilli, Research Director at Aite Group, joined us for a Q&A.
Do consumers really have the knowledge and skills they need to manage their healthcare finances? We commissioned an independent survey of 1,400 US healthcare consumers to find out.
Since the popularity boom of private exchanges and defined contribution beginning in 2014, there still exists a number of barriers to employee adoption. Unfortunately, much of the conversation around exchanges and defined contribution has been focused on hype and skepticism. The fact of the matter is, the concept of a healthcare marketplace has been in existence for some time, it has just taken on a new complexion in the face of rising costs for both employers and healthcare consumers.
Like it or not, the migration toward CDH is fully underway, making the strategic importance of consumer-directed health plans and benefit accounts that much more significant. Health plans must carefully consider their strategies regarding CDH account offerings.
As an Alegeus client for more than a decade, PrimePay, has grown its CDH business to support more than 1,500 employer groups representing nearly 50,000 benefit accounts across CDH offerings. Understanding the market movement to consumer driven health and the upside potential for their business, PrimePay is partnering with Alegeus to educate the market.
As industry stakeholders, we understand the end game of consumer-directed healthcare (CDH) – educated, engaged and empowered consumers, lower costs system-wide and improved health outcomes. Adoption of consumer-directed health plans (CDHPs) has grown by leaps and bounds over the last 15 years and with that growth has come growing pains. The haste of employers to implement money-saving CDHPs has, in some cases, lead to tactically-driven versus strategically-driven implementations that have resulted in consumer disengagement and ultimately low adoption. While the push toward CDHPs continues, there is tremendous opportunity for those who have a solid plan to offer win-win solutions for both employers and consumers. Continue reading to learn about plan design that leads to better adoption of CDHPs.
In much the same way that company-sponsored pension plans of yesteryear resulted in employee apathy about where retirement dollars came from and how they were invested, leading to today’s consumer-directed 401ks, company-sponsored health plans are following a similar path leading to greater adoption of HSAs.
Long gone are the days of simply picking a benefit-rich health plan during open enrollment – essentially setting and forgetting healthcare management until the following year. With an era of consumer-driven healthcare upon us, this paradigm shift requires the modern healthcare consumer to be engaged and empowered to make the best decisions for their families and their finances.
Consumers are increasingly responsible for the cost of their healthcare – as evidenced by rising deductibles, growing out-of-pocket costs and accelerating adoption of consumer directed health plans and accounts. However, it is evident that consumers may not fully be prepared to manage these new responsibilities.
The 2016 Alegeus Healthcare Consumerism Index is an annual report that measures the degree of engagement and ‘consumerism’ exhibited during healthcare spending and saving decisions and affirms that there is still much room for improvement for consumers to optimize their financial health.