4 ways to design a diverse and inclusive healthcare plan

Inclusive health coverage is crucial to support a diverse workforce. Without it, companies cannot provide a truly inclusive work environment.

An encouraging 81% of employers are focused on improving diversity, equity and inclusion, but only 38% actually have a multi-year strategy in place to achieve this. The design and delivery of an inclusive health plan is still a relatively new concept and something many employers are learning how to successfully navigate.

Read more: Employers increasingly support a public option for healthcare plans 

Brokers can play a key role in helping employers achieve their DEI goals and serve their employees’ diverse needs. But where is the best place to start? What design strategies can be most effective at addressing known health inequities and mitigating access barriers?

When it comes to maximizing DEI impact for your clients, here are four inclusive design principles to prioritize.

1. Smart, personalized subsidization and equity discounts. 
Flexible subsidization is integral to inclusive, equitable benefits. A flexible subsidization framework allows greater support for conditions that have disparate burden on marginalized communities.

On the flip side, health plans that treat all employees as if they are the same are inherently inequitable. That’s because health needs, social determinants of health, known disparities, mental health, salary, etc. vary from person to person. Inclusive health plans adjust subsidy based on these factors.

Inclusive health plans also lower the cost of more effective and efficient care, which some call equity discounts. For example, this might look like:

• Lowering the cost of treatments or medications known to be particularly effective in treating certain conditions within certain populations (e.g., heart disease for Black people). 
• Identifying providers who are most effective in caring for specific conditions within at-risk populations and helping steer at-risk employees toward those providers. 
• Providing free or low-cost mental health therapy.

Equity discounts can lower employee financial burden and enhance access to care for conditions that are prevalent in populations that have been systematically discriminated against in health care. A plan sponsor can also choose to apply an equity discount to their entire population.

2. Plain, understandable language.
To most people, health insurance feels like a different language. A mere four in 100 Americans can define deductible, coinsurance, copay and out-of-pocket maximum. More than a quarter have avoided care because they didn’t know what is covered by their health insurance. These are dangerous statistics.

Health plans that use clear, accessible language should be highlighted for employers. With such plans, employees can understand exactly what their insurance covers and their options.

3. First-dollar coverage and cost certainty. 
Deductibles, high prices and a lack of cost certainty are big reasons people skip or postpone care. More than half of Americans say they’ve delayed care because of cost. People shouldn’t have to postpone or skip care because their deductible hasn’t been met, the cost of care is too high, or the price is unknown. Sadly, most Americans don’t have $400 in savings to cover medical costs, and financial barriers to care disproportionately affect lower-income individuals and families.

If DEI is a priority for your clients, make sure they offer at least one plan without a deductible and also consider plans that offer transparency tools or, better yet, the ability to know the exact price of care in advance.

4. Personalized, digital care navigation.
Employers give their employees a tremendous gift when they offer health plans that allow searching and shopping like other consumer websites. Health plans that let people search for treatment options (and see the ranges of exact costs) by condition or health issue via an app or website empower members to make informed choices that suit their personal and financial needs.

It’s also important that people can find care that is reflective of their unique — racial, cultural, LGBTQ+, mental, etc. — needs. People in marginalized groups report facing high rates of discrimination from healthcare professionals, and it has been shown to negatively impact their overall health. Some health plans provide information about physician diversity and specialization, as well as offer clinical advocacy and support options to make it easier to find a clinician who understands specific needs. Make sure your clients know these options are available to them.

Driving change this annual enrollment season
Seventy-two percent of employers plan to promote DEI-related aspects of their benefits programs over the next few years. You play a critical role in ensuring they understand the options and strategies available to them, so they can present the best offerings that meet their inclusivity goals. While these offerings may feel new now, they soon won’t. Employers that are prioritizing DEI will deepen relationships with brokers who are bringing them inclusive benefit strategies with clear, meaningful impact. Make sure your name stands out on that list.