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New Data from Harvard Business Review Analytic Services Reveals Employer Investment in Health Benefits has Minimal Impact on Employee Health

Enterprise leaders say employees lack the data & guidance they need to drive better health outcomes


News provided by

League Inc.

Aug 19, 2019, 10:05 ET

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TORONTO, Aug. 19, 2019 /CNW/ -- New research from Harvard Business Review Analytic Services sponsored by League Inc., North America's leading enterprise health OS, illustrates a disconnect between companies' investment in health benefits and the impact on employee health. As a result, employers are realizing that modernizing the employee health experience is more crucial than ever.

As competition for talent increases and health care costs continue to skyrocket, companies are turning their attention and resources to redesigning the health benefits experience as a way to reign in costs while attracting and retaining skilled employees. In North America, employers are spending an estimated $15,000 per employee to provide health care benefits to their teams and these costs are continuing to rise. The survey of 238 executives found that 90% of respondents view employee health benefits as an important way to demonstrate their organization's understanding and concern for the needs of their workers. What's more, more than half (51%) of organizations expect such benefits will become an even higher strategic priority over the next three years.

Despite the massive investment employers are making, the survey revealed a stark lack of awareness among employees:

  • 58% of survey respondents report that employees are unaware of the company-provided health benefits to which they are entitled; and
  • 63% say employees don't know enough about how to leverage their benefits.

This lack of employee awareness and knowledge is reflected in fairly low engagement levels with health benefit programs. Just 28% of respondents say employees actively engage with all of the health benefit programs they are offered, and only 27% of organizations say employees use the full range of their health benefits. The negative impact of such low awareness, knowledge, and engagement is often far more broad — resulting in higher overall health care costs, poorer employee health, employee absenteeism, and lower productivity.

Additionally, employees are often required to access multiple disparate systems in order to learn about and access their full range of health benefits. At just 10% of organizations can employees learn about and leverage the full range of available benefits through a single system; and at 13% of organizations, employees use more than five systems to access their benefits.

"There is a profound disparity between what employers are doing to provide health benefits and what employees are actually getting from these efforts," said Mike Serbinis, CEO of League. "To close this gap and improve health outcomes while reducing costs, the entire ecosystem needs to become employee-centric. Employers need to think about how they can streamline the current sea of point solutions with an enterprise health OS and empower employees to proactively manage their health."

Employees' lack of awareness extends to the quality and cost of health care, as well as which plan is right for them. Well under half (41%) of organizations report that their employees are knowledgeable about which health benefits plan is right for them, and just over one-third (35%) of organizations report that employees are knowledgeable about the quality and cost of health care.

Organizations, for the most part, are open to change. Respondents at most organizations (68%) believe there are opportunities for their organization to better manage health benefits costs. The same percentage report their organization is open to changing its employee health care experience.

In June, League launched its Health Benefits Experience platform, HBXTM, to provide forward thinking employers like Unilever, Uber, Shopify, and Lush Cosmetics a centralized health, benefits and wellbeing platform, in order to deliver personalized health recommendations that actively support employees' health and wellness through a single access hub. HBX creates a seamlessly integrated ecosystem of over 100 insurance carriers, health care partners, and HRIS systems. The always-on experience helps employees proactively leverage employer-sponsored programs to improve health and productivity while reducing health care and administration costs — addressing the pain points the data outlines.

For further insights, download the executive summary from Harvard Business Review Analytic Services and League: "The Key to Better Health: An Employee-Centered Benefits Experience." The full report will be available in September and can be received by signing up on the landing page.

Survey Method: The Harvard Business Review Analytic Services survey was based on a total of 238 respondents drawn from the HBR audience of readers (magazine/newsletter readers, customers, HBR.org users).

About League

North America's leading enterprise health OS, a data-driven platform designed to provide a single access hub for employees to engage with their health, lifestyle and benefit programs through its category-defining Health Benefits Experience: HBXTM. This new "front door" to health care eliminates the current sea of point solutions via an integrated ecosystem of over 100 insurance carriers, health care partners and HRIS systems. Customers like Unilever, Uber, Shopify, and Lush Cosmetics are amongst the hundreds of employers currently using League to revolutionize their employee experience, drive better benefit utilization & reduce costs.

About Harvard Business Review Analytic Services

Harvard Business Review Analytic Services is an independent commercial research unit within Harvard Business Review Group, conducting research and comparative analysis on important management challenges and emerging business opportunities. Seeking to provide business intelligence and peer-group insight, each report is published based on the findings of original quantitative and/or qualitative research and analysis. Quantitative surveys are conducted with the HBR Advisory Council, HBR's global research panel, and qualitative research is conducted with senior business executives and subject matter experts from within and beyond the Harvard Business Review author community.

Media Contact
Bateman Group on behalf of League
Danny Casarella
[email protected]
347-599-9631

SOURCE League Inc.

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Organization Profile

League Inc.

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