Fall is typically the time that employers start to think about insurance renewals and keeping employee healthcare costs under control. I had a recent conversation with Kyle Anderson, Director of Business Development at Goodroot about it and asked if we could take some of that conversation online to hopefully share some insights into how companies can control such costs. I learned something new from the conversation and I hope you will too. Thus, it leads to another installment of my long running (though admittedly sporadic) "Three Questions With..." series. My thanks to Kyle for the time.
Q: From your perspective, can you talk about what some
of the biggest challenges companies face when tackling employee
benefits?
A: It's not new, but the biggest challenge for companies is
managing the rising cost of healthcare. Health insurance premiums,
prescription drugs, and medical services increase year after year,
making it difficult to offer competitive benefits while controlling
costs. Many companies are forced to either scale back their
offerings, adjust coverage to shift costs to employees (like
through higher deductible plans), or find ways to reduce overall
medical expenses.
The second major challenge is employee engagement. Many employees struggle to understand and fully utilize their benefits, especially when it comes to cost-saving opportunities. Healthcare is complex and hard to navigate, even for HR and benefits teams. This complexity leaves HR teams overwhelmed and employees underutilizing services that could save both them and the company money.
Q: When we've talked, you talked about
"healthcare navigation" which I think some readers may
feel is a new approach here. Can you talk about healthcare
navigation, and why you think it's important for employers to
think about?
A: Sure. Healthcare navigation is a concept that simplifies the
confusing healthcare system by helping individuals make informed
decisions about care. Think of it as a guide that helps employees
find the right doctors, understand their benefits, and reduce
out-of-pocket expenses by comparing costs for services.
Most people don't realize that healthcare prices vary widely
depending on the provider, and that higher costs don't always
mean better quality. For instance, an MRI could cost $600 in one
facility and $2,000 at another for the same test. Without
navigation (or guidance into a more cost-effect path), employees
may choose higher-cost services, increasing the financial burden on
both themselves and their employer.
On top of that, around 80% of medical bills contain errors, yet few people have the expertise to spot them. A good healthcare navigation partner can help employees understand their benefits, select high-quality providers at lower costs, and even catch billing mistakes or negotiate bills down.
Q: So, I know one of Goodroot's related companies,
Emry, is looking into this subject. Can you talk about some
innovative solutions that employers should be aware of if
considering healthcare navigation?
A: Absolutely. One major innovation is the integration of
technology, particularly AI-powered tools, into healthcare
navigation. These platforms help employees compare prices, review
their benefits, and understand their financial responsibilities
before receiving care.
AI virtual assistants can now provide instant, personalized answers
to employee questions, accessing group benefits data to offer
guidance specific to each employee. By combining this technology
with price transparency tools, employees can shop around for
healthcare services, lowering costs and improving outcomes.
It's a way to make informed decisions without a lot of extra
time or hassle.
For HR teams, these newer platforms provide a way reduce administrative burdens, lower legal risks, and shift the focus from answering day-to-day benefits questions to helping employees get the most value from their plans.
We feel strongly that technology is an incredible enabler of employee engagement – but we know tech isn't the answer to everything. Ultimately, we believe a balanced approach that offers tech solutions with human support creates the best outcomes.
Bonus Question: Thanks for talking about this. It's
something I hear employers struggle with and I'm never sure
where to send them. Can you just describe Emry Health where you
work so if people want more information, they know where to
look?
Thanks Dan. Yes, with over two decades of experience in benefit
navigation in healthcare bill reduction, Emry works to maximizing
the value of healthcare investments and removing complexity to
create better, lower-cost benefit experiences for employers and
their people. If you want to learn more, you can find us at emryhealth.com.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
