Consumer Engagement in Health Care and Choice of Health Plan: Differences Among Millennials, Baby Boomers, and Generation X Have Implications for Plan Sponsors

EBRI Notes, Vol. 38, No. 6 (April 27, 2017)

12 Pages Posted: 29 Apr 2017

See all articles by Paul Fronstin

Paul Fronstin

Employee Benefit Research Institute (EBRI)

Anne Elmlinger

Greenwald & Associates

Date Written: April 27, 2017

Abstract

The EBRI/Greenwald & Associates Consumer Engagement in Health Care Survey (CEHCS) is an online survey that examines issues surrounding consumer-driven health care, including the cost of insurance, the cost of care, satisfaction with health care, satisfaction with health care plans, reasons for choosing a plan, and sources of health information. It is co-sponsored by the Employee Benefit Research Institute (EBRI) and Greenwald & Associates, Inc., with support from seven private organizations. Most survey participants (82 percent) received coverage through an employer. This paper presents key findings on generational cohort differences. Millennials value and are more satisfied than other generational cohorts with aspects of plan management that are directly within a plan sponsor’s control. More than other generational cohorts, millennials are satisfied with the process of enrollment, including the information available to help understand health plan choices. Further, millennials are more satisfied with the availability of affordable health plans at enrollment and their personal financial experience of out-of-pocket costs. Millennials are slightly less satisfied with health system features that plan sponsors have less control over, including quality of health care received and doctor choice. Millennials are more engaged than other generational cohorts in health care choices, including some that are costly for plan sponsors. At enrollment and when engaged with the health system, millennials report higher rates of specific behaviors that contribute to more engaged health care consumers. However, they are also more likely to request a brand name drug over a generic. Plan sponsors may want to experiment with targeted ways to lower plan costs among this subset of their participant population. Millennials report greater engagement with cost-conscious behaviors (e.g., seeking the cost of a procedure before receiving services) that many plan sponsors encourage through their health plan design and participant education. This research shows that millennials have the highest rates of regular exercise and normal weight, yet paradoxically are more likely to smoke. Given the higher overall engagement rates summarized above, plan sponsors may want to experiment with plan design and education to decrease the rates of smoking among the youngest generational cohort.

Keywords: Consumer-driven health plans (CDHPs), Employment-based benefits, Health behavior, Health care attitudes and opinions, Health insurance attitudes and opinions, Health insurance coverage, High-deductible health plans (HDHPs)

JEL Classification: I1, I12, I13, J3, J32

Suggested Citation

Fronstin, Paul and Elmlinger, Anne, Consumer Engagement in Health Care and Choice of Health Plan: Differences Among Millennials, Baby Boomers, and Generation X Have Implications for Plan Sponsors (April 27, 2017). EBRI Notes, Vol. 38, No. 6 (April 27, 2017), Available at SSRN: https://ssrn.com/abstract=2960149

Paul Fronstin (Contact Author)

Employee Benefit Research Institute (EBRI) ( email )

901 D St., SW
Suite 802
Washington, DC 20024
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202-775-6352 (Phone)
202-775-6312 (Fax)

Anne Elmlinger

Greenwald & Associates ( email )

4201 Connecticut Ave., NW
Suite 620
Washington, DC 20008
United States
202-686-2510, ext. 141 (Phone)

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