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Transforming Health Literacy Through Digital Innovation

Written by Risk Strategies Consulting | Aug 21, 2025 1:24:05 PM

For employers, two priorities often dominate their benefits strategy: managing rising healthcare costs and improving employee health outcomes. But there is a third, often overlooked, element that influences both: the member experience. It's not just about benefit design, but how well employees understand and navigate what is available to them.

When healthcare feels overwhelming or confusing, employees (and their dependents) are more likely to delay care, misuse benefits, or make costly mistakes. In contrast, a clear, supportive experience empowers better decisions, drives engagement, improves outcomes, and helps control costs.1

Understanding the Root Cause

The frustration many feel toward the healthcare system often stems from a deeper issue: low health literacy. Nearly half of U.S. adults, or over 90 million people, struggle to find, understand, and use health-related information.2 This leads to poor adherence, missed preventive care, and avoidable costs that could otherwise be reduced or managed.

Smarter Solutions Through Technology

The good news is that digital innovation is closing these gaps. When implemented thoughtfully, AI and digital health tools can transform a confusing benefits ecosystem into one that is seamless, personalized, and member-centric. The key is to choose solutions that support interoperability across payors, providers, and employers, allowing data to flow and care to be better coordinated.

Building Health Literacy into Strategy

Even the most advanced tools require a foundation of understanding. To truly improve member experience and outcomes, employers must take deliberate steps to raise health literacy. Risk Strategies Consulting helps organizations operationalize this through five key strategies:

1. Empower HR and Leadership Teams

Ensure leaders and internal champions understand and can articulate the value of the benefits strategy. Equip them with training, FAQs, and toolkits to guide and model informed decision-making.

2. Simplify and Personalize Communication

Use plain language and visuals. Layer in AI-driven tools that tailor messaging based on each employee’s needs, delivering the right information at the right time.

3. Leverage Smart Technology

AI-powered chatbots, mobile apps, and virtual assistants offer real-time help by guiding employees through tasks like finding providers, reviewing benefits, or booking appointments.

4. Invest in Human Support for Complex Needs

For those managing chronic or high-cost conditions, digital tools should be paired with personalized care navigation, benefit coaching, or advocacy support.

5. Promote Transparency and Preventive Care

Offer tools that make provider quality and cost comparisons easy, and incentivize wellness activities. This builds trust and encourages smarter, proactive choices.

The Bottom Line

By combining modern technology with strategies that improve understanding, employers can create a benefits experience that is easier to navigate and centered on the member.

Risk Strategies Consulting partners with large and sophisticated organizations to help reduce complexity by identifying the right digital solutions and building implementation strategies that maximize return on investment. By aligning technology with business goals and employee needs, you’re ensured of a measurable impact through improved experience, engagement, and cost efficiency.

Learn more about Risk Strategies Consulting here.

References

  1. Tri, F. Simple Strategies for Improving Employee Health Literacy.
    https://www.linkedin.com/pulse/simple-strategies-improving-employee-health-literacy-freshtri-vwlvf/  (2024).
  2. Nielsen-Bohlman, L. Health literacy: A prescription to end confusion. (National Academies Press, 2004). doi:10.17226/10883.