An Employer’s Guide to Virtual Care in the COVID Era

It’s hard to overstate the impact the pandemic had on employers. In addition to managing the reality of moving people to remote positions virtually overnight, they had to make difficult financial choices. Many organizations had to decrease the size of their workforces, and some had to make the tough decision to lower their contributions to employee health plans — putting a greater financial burden on already overwhelmed employees.
That said, something good came from these hardships. Because of COVID-19 and all of these ramifications, one bright spot appeared on the employee-employer healthcare front: the broader acceptance of telehealth and a newfound appreciation for the benefits it offers.

Virtual healthcare existed before the pandemic, but it was unfamiliar to many people. But by March 2020, telehealth use skyrocketed by 154%, according to CDC reporting. Virtual visits have become commonplace and offer a way to keep medical costs down for all stakeholders without sacrificing quality care. McKinsey & Co. estimates telemedicine is currently 38 times more popular than it was before the pandemic.

Employers are increasingly expected to make virtual care part of their health benefits, and they are trying to navigate how to do that best. The more information they gather, the sooner they — and their employees — can reap the benefits of virtual care solutions.

Why Health Coverage Is a Source of Anxiety for Employers

Companies have increasingly had to deal with rising deductibles and higher premiums in recent years, which has made it difficult to provide high-quality insurance to their team members. Between 2009 and 2019, employers had to increase their employee coverage contributions by 67% to keep pace with sky-high costs; family plans, for example, can average more than $20,000 per worker per year.

To mitigate these issues, some companies have started to offer plans with higher deductibles. Unfortunately, even high-deductible plans are out of reach for some employees. Reporting by The New York Times showed that some people are quitting their jobs because of overly pricey insurance. As a result, no one wins — particularly not employers, who are forced to choose between providing high-quality insurance and keeping their most talented employees.

Consider the numerous burdens that accompany being unable to offer employees quality care. For one, it’s difficult to attract the best candidates when you don’t offer the benefits they want. It can also cause employee loyalty, satisfaction, and morale to suffer, which eventually hurts innovation, productivity, and efficiency. Workers who do stick around also might hesitate to take care of themselves — particularly if they feel like they have to choose between paying for a trip to the doctor’s office or keeping up with monthly bills.

This hardly paints a rosy picture, but it doesn’t have to be a permanent problem. Companies looking to offer healthcare benefits and coverage for employees have a few choices:

1. Offer low-cost insurance that is supplemented with virtual care plans.

Often, low-cost insurance means high deductibles. It’s possible to make this more attractive to employees by offering a complementary virtual care plan as part of the arrangement. With virtual care, employees can take care of minor and routine health issues cost-effectively and conveniently. These virtual care plans are affordable for employers and employees alike.

2. Pair a high-deductible plan with a health savings account.

High-deductible plans can be tempered in other ways; offering employees the chance to put pre-taxed dollars into a health savings account, or HSA, allows them to benefit from both tax advantages and savings. Employers make their monthly contributions, and employees can roll over their HSA amounts year to year. The one caveat to offering HSAs is that not every worker will understand how to make the most of them. Consequently, employers might want to set up training before each enrollment period to explain the advantages of HSAs to all employees.

3. Provide independent virtual care or telehealth coverage.

It might not be realistic for some employers to provide comprehensive insurance, but they could offer telehealth coverage. Virtual care plans make it possible for workers to receive the care they need without incurring huge bills. This benefit can be especially appealing to part-time employees, contractors, and anyone whose hours have been reduced.

For example, Health Karma’s Virtual Primary Care + Behavioral Health plan allows patients to see the same primary care physician for each appointment, take advantage of virtual wellness exams, and access 24/7 virtual urgent care. It’s not health insurance — it’s an affordable virtual benefit plan that allows businesses to provide their employees with the medical and behavioral care they deserve. Patients can access this care on their electronic devices (e.g., smartphones, computers, tablets) with no copay, and employers only have to cover a fraction of the cost of traditional insurance plans.

4. Adjust insurance premiums and deductibles based on employees’ incomes.

Midsize companies and larger enterprises habitually balance their employees’ insurance premiums and deductibles against their salaries. For instance, JPMorgan Chase pays 80% of an employee’s premiums if they earn less than $60,000 annually. This practice provides a greater sense of equity in healthcare. At the same time, it puts less of the financial onus on lower-salary and younger workers.

5. Bump up benefits related to healthcare.

Employer health benefits don’t have to be limited to classic insurance plans and HSAs. They can expand into other areas, such as employee assistance programs (EAPs) for workers and their immediate family members. Nearly half of employees say they have struggled with mental health issues during the pandemic, and roughly 50% of the workforce might lack successful coping skills to handle depression, anxiety, and related conditions.

EAPs provide a way to address those needs and care for employees’ health holistically. Providing talk therapy services — like those offered on Health Karma’s platform — provides employees with an additional health benefit and supports their overall wellness.

How Employers Can Communicate Coverage Changes and Choices Effectively

Once companies upgrade and bolster their health benefits and add new tools and resources to their offerings, they have a responsibility to initiate coverage conversations with employees.

Bringing workers into the discussion before anything is finalized serves two key purposes: First, employers get a better sense of what’s most important to their workforce. Second, empowered employees are more likely to buy into the updated healthcare plan and revised benefits.

Consider the relevant example of working from home. Almost three-quarters of all workers would prefer a hybrid working model so they can control their schedules. For these employees, being able to design their life in a way that blends their personal and professional responsibilities is essential. What if a company were to consider this when revising its healthcare plan? That plan might include telehealth solutions and initiatives designed to accommodate the needs of fully or partially remote workers (and especially working parents).

Does this mean that communicating with employees removes all friction points involved in changing a company’s healthcare plan? Not necessarily. But added transparency makes it much easier to get workers on board.

Employees understand that their company saving money gives them more job security. What they might not realize is the connection between healthcare plans and those cost savings. Taking the time to break down something like the benefits of a new virtual primary care program can help workers see what they’ll get out of the changes and how those changes improve the company’s overall financial position.

While most people have heard of telemedicine, they perhaps have never used it themselves. By educating your team on the benefits of telehealth and the different services available to them, you can remove barriers to their comfort.

Ways for Employers to Vet Virtual Care Providers

Telemedicine is here to stay, but it can’t be approached with a set-it-and-forget-it attitude.

Not every virtual care provider will be the perfect fit for every organization. Telemedicine is more convenient and cheaper than in-person care, but not all telehealth coverage programs offer the widest range of services possible, such as virtual primary care. As a result, employers will need to evaluate all virtual care providers before deciding which to adopt.

Employers can make this vetting process easier by jotting down their most important considerations for finding the right telehealth solution. These factors might include:

• The ability to take care of both acute and chronic conditions in an online environment.
• The possibility to pick up a dedicated provider who will know your medical history and will see you at every follow-up visit (Virtual Primary Care).
• Virtual annual wellness visits with your primary care physician, with lab tests included.
• Access to a doctor within minutes, if necessary (Urgent Care).
• The capacity to receive prescriptions for common illnesses and injuries and access prescription drug discounts.
• The chance to use virtual mental health solutions with licensed therapists.
• Easy, user-friendly navigation and access to assistance and care coordination 24/7.
• No deductibles and copays.

Armed with a list of must-have benefits, employers can confidently select the right virtual healthcare partner.

Where Do COVID-19 Vaccines Fit Into an Upgraded Benefits Plan?

It would be impossible not to touch on COVID-19 vaccinations when talking about employers and healthcare. Many employers are grappling with whether or not to require vaccines for their workers. It’s a controversial topic and a real challenge for employers to address.

Although employers can legally require mandatory vaccinations of team members, forcing employees to get vaccinated could put a company in violation of Equal Employment Opportunity Commission (EEOC) laws if reasonable accommodations aren’t made under specific circumstances — and if there isn’t consistency in decision-making.

Even if EEOC guidelines are followed to the letter of the law, employers might still find themselves wondering whether requiring COVID-19 vaccines is the right choice. Would firing a worker who refused the vaccine send the wrong message to existing employees? Even if it’s a lawful decision, the employer could face unintended backlash.

Currently, many companies are taking a “wait and see” approach. They’re encouraging vaccines through educational campaigns, making the vaccine accessible to everyone on their payroll, and even covering the costs of the vaccine or offering incentives to those who get vaccinated. As a result, they’re chipping away at the edges of a healthcare concern that doesn’t yet have a definitive resolution.

Scaling and Growth: Making Virtual Care a Core Differentiator

The world might have felt like it stopped turning in 2020, but life kept moving along. Companies that survived are ready to grow, and some are looking to onboard talented people who could become their next generation of leaders. This is where a more balanced benefits package highlighted by virtual care can come into play.

According to Slack’s findings, most workers don’t want to go backward. They want to work for companies that give them freedom, responsibility, and opportunities in exchange for their contributions. Employers, then, can leverage the benefits of telehealth and teletherapy — $0 copay visits, prescription discounts, ongoing care management, and 24/7 emergency appointments — as ways to attract top players on the job market.

Virtual care can be a win-win for employers and employees, especially after everything they endured during the pandemic. At its core, it’s more affordable and accessible than traditional healthcare without sacrificing quality. It offers an innovative way for employers to meet employees where they are, show them they’re listening, and take away the fear of paying too much for care.

At Health Karma, we want employers and employees to feel good about healthcare. Find out more about how our Virtual Primary Care + Behavioral Health platform makes that possible.