According to a recent study, 47% of employers say they probably or definitely will switch to a defined contribution type of health care plan. Although the majority of employees don’t want to take more responsibility for their medical insurance, the research shows it seems to be trending in that direction.
76% of consumers are not knowledgeable about federal and state exchanges, and educating themselves about health insurance seems overwhelming.
A lot of workers are relying on their employers to educate them on the new health care reform, but only a small amount of employers plan to take responsibility for educating employees. In fact, 75% of workers believe their employer will educate them about the health care reform, and only 13% of employers reported it being an important issue.
- 76% of consumers are not knowledgeable about federal and state exchanges, and educating themselves about health insurance seems overwhelming.
- Over half of the workers surveyed feel that they do not have enough time or education to be making the decisions for themselves.
- Some say that their families will probably be less protected once they take over full responsibility.
“It may be referred to as ‘consumer-driven health care,’ but in actuality, consumers aren’t the ones driving these changes, so it’s no surprise that many feel unprepared,” said Audrey Boone Tillman, executive vice president of Corporate Services at Aflac. “The bottom line is if consumers aren’t educated about the full scope of their options, they risk making costly mistakes without a financial back-up plan.”
Workers are obviously concerned about the possibilities. Employers can help them in the transition by preparing their employees to take over responsibility. Even though the prospect seems daunting, there can be many advantages for employees to take control of their health options.
What are the advantages to my employees?
- Employees could save more money by taking control of their health care options.
- Greater employee satisfaction
- Improved quality of care
- Armed with information to demand high quality services
- Greater flexibility
- Peace of mind
- Employees can take advantage of pre-tax savings accounts
How can I help my employees?
- It’s important that employees understand the value the benefits are providing them
- Keep the focus on the risks that are being averted by offering benefits
- Offer options based on employee population
- Give quality information so employees can avoid bad choices and make make good choices for themselves and their families
“It’s time for consumers to face reality,” Tillman said. “Ready or not, they are being put in control of their health insurance decisions — and that means having to make choices that could have a big impact on personal finances. If employers aren’t offering guidance to workers on how to make crucial benefits decisions, the responsibility lies in the hands of consumers to educate themselves.”Contact us today to learn more about how we can help!