Plan members and sponsors reveal their (slightly different) lists of most-wanted benefits 

By: Bill Zolis

What benefits do plan members really want? What benefits do plan sponsors believe offer the best value in terms of delivering the outcomes they have in mind?  

The 2021 Benefits Canada Healthcare Survey, probably the largest and most detailed survey of its kind – it used to the Sanofi Healthcare Survey until the folks at Benefits Canada took it over – gives us some considerable insight into those questions.  

There is a great deal of data in this survey, and I think you do need to read it carefully, read between the lines and think it through in terms of context. But here are some of the headlines. 

More coverage: Among plan members, 85% said they would like to have more coverage in specific areas in which their plans already provide benefits. Not surprisingly, the leading item, at 21% of plan members, was major dental. Tied for second place were vision care and paramedical services, at 16% each. Rounding out the top seven were the following: 

– Mental health services 

– Basic dental 

– Prescription drugs 

– Virtual healthcare 

Interestingly, 15% of respondents said their current plans adequately covered their needs. That number included just 9% of 18- to 34-year-olds, and nearly a quarter of 55- to 64-year-olds, at 23%.  

New benefits: The survey asked plan members what new benefits they would most like to see, and asked plan sponsors what new benefits they would be most open to providing in the future. There were some interesting differences in perspective between the two groups. 

– Plan members said they wanted new fitness-related benefits above all. In fact, three of the top four items were about fitness: fitness classes at 30%, personal trainer at 29%, and fitness tracking devices at 25%. (However, I note that picking “gym membership” from a list is not the same thing as actually going to the gym – there is undoubtedly some element of good intentions outstripping actual practice in this case.) 

– Plan sponsors listed 24-hour virtual healthcare as their number one, at 31%, followed by immunizations for communicable diseases, and health risk screening by medical professionals, both at 23%. Fitness classes came in fourth at just 19%, and fitness tracking devices were eighth at 13%. 

– Plan members were interested in adding virtual healthcare, at 26%, immunizations at 25% and health screening at 24%, as well as genetic testing to screen for certain diseases at 22%, and genetic testing to identify which drugs would be most effective for them at 17%. 

– Plan sponsors cited several health services that plan members did not mention in significant numbers: healthcare system navigation, at 19%, healthcare apps at 18%, and one-on-one education for people with chronic health conditions at 16%.  

– Both groups cited health risk screening (24% for members, 23% for sponsors), and meditation apps at 15% and 17% respectively. 

– Plan members listed assistance in caring for elderly parents, at 15%, an item not mentioned by plan sponsors. 

As we have discussed in previous blogs, a large part of what plan sponsors want to achieve with their benefit plans, and the particular benefits that they offer within those plans, can be described as “the well workplace,” and “supporting employee morale,” and “creating a caring environment.”  

But I note that offering benefits is only one part of the equation. Making sure that plan members understand their benefits and, yes, fully appreciate the value they represent, is just as important. In other words, I think some education is required.  

It’s one thing to run through a list of benefits at the time of hiring, or to send a benefits memo once a year, but it’s quite another to make sure employees fully understand their benefit plans. 

For example, employees may look at their benefit plans – and their payroll deposit statements – and see that they are paying the premiums for long-term disability. It’s easy for them to think that this is a less-than-generous gap in their benefits – unless we explain to them that, no, they are paying the premiums because of Canadian tax law, which says any benefits they receive from LTD would be fully taxable if the employer paid the premiums (and non-taxable if they pay them).  

Or take some of the newer, emerging benefits, such as telehealth and online mental health care. These benefits – and others on the list from the survey, such as genetic screening, counseling, and healthcare navigation – are a win-win for sponsors and members if members know how to access them and use them to the fullest advantage. 

One more take-away from the survey: flexibility. We know that differences in demographics play a big role and the survey results bear this out – younger versus older, those with dependents and those without, those with health, vision or dental issues and those less affected, and so on. Currently, 22% of plans allow employees to choose their level of coverage, 39% include some form of healthcare spending account, and 19% offer wellness spending accounts. 

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So, another year almost done and here we are, still hanging in. Two years ago, we had never heard of Covid-19. One year ago, at the height of the second wave, we were just beginning vaccinations. Today, we find ourselves in a fourth wave. So, well, bring on that third shot, and keep the mask handy. We’ve made it this far and I’m sure that we will make it the rest of the way. 

From all of us to you and yours, we wish you peace and health and happiness at this special time of year. Take care, stay safe, and all the very best for the New Year. 

*** 

I really appreciate comments, ideas, suggestions or just observations about the blog or any other topics in benefits management. I always look forward to hearing from readers. If there’s anything you want to share, please email me at  bill@penmorebenefits.com. 

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