Policygenius reveals how Americans feel about healthcare

An inside look at what’s important to employees when it comes to healthcare

November 18, 2021 4:14 PM

As employers prepare for 2022 open enrollment while navigating unprecedented employee turnover, health insurance may just be the golden ticket to getting employees to stay.

A new survey by online insurance marketplace Policygenius and data firm You Gov found that health insurance is the main tie for many employees to keep their jobs. Thirty-three percent of those surveyed said they would quit if it wasn’t for their health insurance coverage.

However, while these benefits seem indispensable, employees are confused around their plans and healthcare policies, the survey found. Employers can dig deeper to understand how employees perceive and interact with their healthcare to retain new talent and support the ones who stay.

“There is an increasing burden on the people who use health insurance,” says Myles Ma, health insurance expert at Policygenius. “There’s a rising burden in terms of finances but also in terms of the amount you have to know.”

To help employees navigate healthcare complexities, here are three factors to keep in mind as HR leaders gear up for enrollment during a national labor shortage.

Employees are reliant on their employer-sponsored health insurance

According to Policygenius, 33% of those surveyed would likely leave their job if it wasn’t for their health insurance. This was especially true for those between the ages of 18 and 34, where 40% would be interested in quitting their job if they didn’t have to worry about health insurance.

“This data point goes against this great resignation idea,” says Ma. “There are consequences for workers in a system where you get health insurance from your job — the consequence being that there are a number of people who would quit their jobs and do something more productive, like starting their own business, but are reluctant to.”

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Next year’s benefits can make or break employee loyalty

In fact, 26% of those surveyed said that they would be at least somewhat likely to start their own companies if they weren’t dependent on employer-sponsored healthcare. But while this proves that health insurance ties some employees to their job even amid the great resignation, it doesn’t always translate to enthusiastic loyalty from an employer’s workforce, Ma explains.

There’s a lot of misinformation and confusion surrounding healthcare policies

Policygenius found that only 28% of Americans knew that there is currently no tax penalty for choosing to not get health insurance coverage, a change from four years ago when a fee was added to federal taxes for those who chose not to purchase coverage. This was repealed in 2019 under the Trump administration.

“I think healthcare is a complicated subject to begin with, but when policies change year after year, it only makes it harder for people to know,” Ma says. “People are persistently confused about what they’re paying for and what rules to follow.”

Ma points to the notorious example of the Affordable Care Act. Policygenius’s survey reported that 70% of Americans did not know it was possible to receive financial aid for health insurance plans from the federal marketplace. But under the Biden administration, a $1.9 trillion stimulus was passed in order to expand subsidies for health insurance plans purchased through the federal or state government. According to the Centers for Medicare and Medicaid Services, this meant that nearly half those who purchased their health insurance through the Affordable Care Act this last year were only paying $10 a month for coverage.

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Your overloaded benefits plan is a waste of money

“I think it’s bad that people don’t know they can take advantage of all these subsidies,” says Ma. “Especially if you do not have health insurance available through your employer, this could be a good option for you, and it’s going to be more affordable than it’s ever been.”

Social media is impacting healthcare

While Policygenius estimates that only 9% of Americans use social media as their primary source for health insurance information, this could have dire consequences. For example, nearly 40% of people who use social media have avoided COVID testing and 22% avoided care. Comparatively, only 11% of those using government websites as their primary information source avoided testing and 7% avoided care.

“It is very difficult to come by good healthcare or health insurance information,” says Ma. “The easiest thing to do is open up Twitter, even if it’s not a good source.”

For Ma, these statistics hint at a larger issue of accessibility regarding healthcare information, reflecting on his own challenges when trying to find a primary care doctor through his health insurance website, despite health insurance being his career.

“I hear about my employee benefits once a year when somebody comes and explains what my health insurance plan does,” Ma says. “When it comes to actually using your health insurance, it has not been made easy for people who need care.”