The top 3 reasons employees aren’t activating their healthcare benefits—and how to fix it. 

Employers spend a great deal of time and resources curating comprehensive benefits packages for their employees. These packages are meticulously analyzed and implemented to attract top talent, drive healthcare value, and enhance job satisfaction and performance. 

Despite these efforts, a survey of over 800 respondents revealed that 80% of employees activate only one or two of the available benefits. So why is this? Here are the top three reasons your team isn't activating their healthcare benefits and how care navigation can help address it.

1. Ineffective communication strategies.

Effective communication is paramount in ensuring employees are aware of and understand their benefits. However, many employees find it challenging to locate the information they need. If your benefits information is not easy to access or you lack the resources to answer employee benefits questions, employees are less likely to activate their benefits.

To combat this, employers should make benefits information easy to find and understand. This includes:

• Ensuring your website is user-friendly and up-to-date.

• Providing clear information about where to access benefits.

• Utilizing multiple communication channels, such as emails, brochures, and direct HR communications.

Additionally, care navigation services improve communication strategies. Care navigation provides a centralized platform for benefits information, accessible through an easy-to-use app and website. Members are paired with a healthcare navigator who can offer personalized communication, ensuring employees receive tailored information relevant to their specific needs and circumstances. 

2. Confusion around benefits.

Complexity and confusion can significantly hinder benefits activation. Employees often struggle with understanding the specifics of their benefits packages and common healthcare jargon, leading to frustration and disengagement. 

Key challenges include:

• Understanding out-of-pocket costs.

• Determining if the benefits meet their needs.

• Navigating the process to access benefits.

To address this, employers should simplify benefits information and provide clear, concise descriptions. Including several examples of how to use the benefits and ensuring easy access to information can help demystify the process.

Health navigation solutions can mitigate complexity by offering personalized navigation and guidance to simplify the process of understanding and accessing benefits. Dedicated health guides also provide benefits education and guidance on relevant point solutions available in their plan, helping employees maximize the benefits in their packages.

3. Poor timing of benefits communication.

The timing and frequency of benefits communication also play a crucial role in activation. If communications only occur during open enrollment, it’s easy for your team to forget about the benefits you offer. The study revealed that while most employees activate their benefits within a month of learning about them, benefits needs arise throughout the year, not just during open enrollment. 

Therefore, it's essential to maintain a consistent flow of benefits information. Employers should develop a year-round communication strategy, mixing up the channels between employer and benefits provider communications to keep content fresh and engaging.

Care navigation ensures that benefits information is consistently communicated throughout the year, not just during open enrollment periods. By regularly reaching out to employees with timely reminders and updates, healthcare navigators keep benefits top-of-mind, increasing the likelihood of activation. Moreover, care navigation provides ongoing support, helping employees navigate their benefits whenever new needs arise, ensuring they make the most of their benefits at any time to drive healthcare value.

Maximizing benefit activation for your team is key.

Activating healthcare benefits is crucial for maximizing their value and ensuring employees' well-being. By understanding and addressing the reasons behind low activation rates, employers can create a happier, healthier workforce. Rightway’s dedicated health guides step in to educate your employees on the specifics of their plan, help them access their benefits, and direct them to relevant point solutions. 

Get in touch to learn how Rightway helps improve benefits utilization and gives time back to benefits leaders.