Communicating healthcare benefits effectively to multiple generations

Today’s workforce may be the first to include five different generations working side-by-side, and each generation has different expectations, communication styles and perspectives. Benefits brokers and their employer clients need a versatile approach to engaging this multi-generational workforce with their healthcare benefits.

Understanding the generational gap

The generational gap in the workplace is the difference in behavior and outlook between groups of people who were born at different times. As the boomer generation is planning for retirement, Generation X and the millennials are focused on preventative healthcare and financial security. Meanwhile, Generation Z is just joining the workforce and has a different perspective on the value of health plan benefits. Therefore, communicating, and better yet, engaging multiple generations requires a multi-faceted approach from brokers and employers.

Read more: The pandemic is forcing Gen Z to rethink their future

To break it down more specifically, the current workforce is composed of traditionalists (or the silent generation; born 1925 to 1945), baby boomers (born 1946 to 1964), Generation X (born 1965 to 1980), millennials (born 1981 to 2000), and Generation Z (born 2001 to 2020). According to Pew Research Center, millennials are America’s largest generation in the workforce. Meanwhile, 33% of the multi-generational workforce consists of Generation X, who share more in common with millennials than with boomers.

Considering each generation grows up in a different context, the gap is an important factor for most employers to consider. Each generation has different priorities and expectations when it comes to important decisions, and in this case, their employee benefits. Benefits brokers and employers have to be prepared to anticipate and meet the range of expectations each generation has for their healthcare. It really boils down to two key considerations:

1. The type of health insurance options offered
2. The most effective way to communicate these options

The importance of offering an array of health insurance options

Each generation has its own specific healthcare needs, and they digest information in different ways. It is important that benefits brokers take this into consideration when creating a healthcare program for clients that is attractive and engaging to each generation in the workforce.

According to DataPath, the top benefits priorities for the baby boomer generation typically revolve around healthcare and finances. They value “traditional” benefits such as medical, dental, vision, and life insurance, but they also want financial benefits in the form of a 401(k) with employer match.

Meanwhile, Harvard Pilgrim Healthcare says that both millennials and Generation Xers — which combined make up more than 60% of the workforce — are more active in pursuing information about their own health and benefits. They know what they want, and they have the resources and research skills to find what they need.

Today’s multi-generational workforce wants to be offered voluntary, financial, and wellness solutions, in addition to top notch healthcare. Offering an array of supplemental benefits is necessary for organizations to both attract and retain employees. Today’s workforce expects a good benefits package and they are more likely to be loyal to companies that offer these packages.

According to Unum, 65% of Gen Zers and 57% of millennials say they are likely to look for a new job with better benefits, and 41% of all workers claim the same. Creating comprehensive benefits packages that entice employees from every generation, will help clients attract and retain talent in the long run.

Effectively communicating health insurance options to employees

With increased benefits options available, the need for improved employee communication also increases. If you create an excellent benefits package and even one generational group in your client’s workforce fails to see the value, will enrollment be as successful, will retention suffer?

Millennials and Gen Xers want to access, purchase, and consume information across the full range of electronic devices, in the form of text messaging, virtual benefits fairs, benefits videos and decision-support tools. Baby boomers are known for favoring face-to-face communication over videos, emails or text messages. Although the days of paper benefits applications are nearly over, it’s still necessary to offer paper options for employees that are accustomed to it.

Distributing benefits content in the right form across the right channels can be a game changer. Tracking employee engagement rates with those communications will provide baseline data and KPIs that validate how well received benefits are.

Key takeaways for benefits brokers

Reaching multiple generations requires a multi-faceted approach for both brokers and employers. In order to build a benefits program strategy that serves all generations, benefits professionals should:

• Learn the generational landscape of the company’s workforce
• Understand preferences for communication and access of information regarding healthcare, and voluntary benefits as well as the need for extra decision-support tools to help with enrollment decisions
• Implement a program that caters to the needs of all generations

In the ever-evolving world of health plan benefits, it’s imperative that brokers and benefits managers focus on the needs of every generation in the workforce. Those that heed this advice, will no doubt gain more satisfied clients that are able to attract and retain a more empowered workforce.