Empowering Patients: How Being a Smart Healthcare Consumer Improves Health and Reduces Costs

In the modern healthcare landscape, patients have a greater responsibility than ever before. With rising healthcare costs, complex insurance plans, and an overwhelming number of treatment options, being an active and informed healthcare consumer is crucial not only for improving individual health outcomes but also for managing costs.  

Research shows that when individuals take an active role in their healthcare decisions, they experience better health outcomes. This active participation empowers patients, promotes preventive care, reduces the risk of unnecessary treatments, and fosters a more sustainable healthcare system. 

In this blog, we will explore why being a good healthcare consumer matters, how it can improve patient health, and reduce costs for both employees and employers.  

Why Being a Good Healthcare Consumer Matters   

Being a smart healthcare consumer is about more than just choosing an insurance plan or seeing a doctor. It’s about making informed choices that lead to better health outcomes while also being mindful of healthcare costs.  

Improved Health Outcomes

Individuals who actively engage in their healthcare—by asking questions, seeking out second opinions, and understanding their treatment options—tend to have better health outcomes. They are more likely to follow through with treatment plans, stay on top of preventive care, and adhere to recommended screenings. Preventive care is one of the most effective ways to maintain health and reduce future medical expenses. It can help detect health issues early, allowing for more effective treatment and potentially avoiding the need for costly interventions later. Active engagement also leads to better communication between patients and providers, ensuring that decisions are made collaboratively. 

Lower Healthcare Costs

Healthcare costs continue to rise, placing a financial burden on many individuals and families. By being informed consumers, patients can make smarter decisions that lower the overall cost of care. For example, selecting a lower-cost, high-quality provider for preventive care or routine procedures can save patients significant out-of-pocket costs. Additionally, by choosing in-network providers, and avoiding unnecessary tests or treatments, patients can significantly reduce their healthcare expenses. 

Employers are increasingly offering incentives to encourage employees to use high-quality, cost-effective providers, also known as preferred-value providers. These incentives might include lower or no copays for specific providers or cash incentives for using designated providers for certain procedures. When patients choose preferred-value providers, employees not only get high-quality care but also help reduce the overall costs for their employers, benefiting everyone involved. 

The Alliance helps employers create tiered networks that steer employees toward preferred-value providers. Learn more about The Alliance’s customizable Smarter Networks^SM.  

How to Encourage Healthcare Consumerism

Now that we understand why healthcare consumerism is important, let’s dive into employers can encourage their employees to be smart healthcare consumers.  

Make Sure Employees Understand Their Benefit Plan

While there are many factors making healthcare difficult to afford and access in the U.S., one of the most overlooked is the confusion patients face when navigating their benefit plan and the healthcare system. A survey by the research firm Perry Undem highlights the significant confusion people experience when seeking healthcare.  

So, making sure employees understand their benefit plan is one of the first and most important steps in helping them become informed healthcare consumers. Employers can help their employees get the most out of their plan by taking time to review the benefit plan during educational sessions. Employers should communicate multiple times a year and in different ways to make sure employees know how to use their benefits when they need them. Learn more about how to effectively communicate with employees here.  

Help Employees Shop for Healthcare

Healthcare prices can vary significantly depending on where and how the services are delivered. This is especially true for non-emergency services, which are often referred to as “shoppable procedures” (like MRIs, elective surgeries, or lab tests). In these cases, comparison shopping can help patients find the best price for good quality care. 

Encourage the Use of Preventive Services

Promoting preventive care is one of the most cost-effective ways employers can help employees stay healthy and avoid expensive medical treatments in the future. As most insurance plans cover preventive services at no extra cost, employers should encourage their employees to take full advantage of these benefits.  

In addition to medical screenings, employers should encourage their employees to make healthy lifestyle choices. This includes focusing on proper nutrition, regular exercise, and mental healthcare. Taking advantage of Employee Assistance Programs (EAPs) can also help employees manage stress, anxiety, or other mental health concerns before they become more serious issues.  

Promoting Healthcare Consumerism for Better Health and Lower Costs

Being a good healthcare consumer involves patients taking control of their healthcare decisions. This includes understanding their benefit plan, shopping for the best care at the best prices, and advocating for their own health. When patients actively participate in their care, they not only improve their own health outcomes but also help reduce the overall cost of healthcare for everyone.