When building a healthcare payment strategy, it’s crucial to keep certain generational markers in mind. While Baby Boomers and Millennials remain top at mind for most health systems, Generation X is signaling to be the most important age demographic in healthcare. As the “forgotten generation,” Gen Xers are most often managing care for not only themselves, but their parents as well. They are also the most likely of any generation to put off care.
Our recent survey in April, which provided insights into how Americans are approaching healthcare costs and financial payments in 2020, shows:
- For Generation X, 69% say that the provider’s willingness to share pricing information was a crucial factor in determining where to seek care.
- Half of all households with children, a significant amount of Gen Xers, answered that they would switch providers to access affordable financing or payment plans to cover their costs of care.
- 45% of all Generation X respondents answered that they had shopped for care based on price
Most importantly, Gen Xers are especially concerned with affordability and price transparency. To help satisfy your Gen X audience, focus on these four approaches our team outlines in Healthcare Business Today:
Emphasize Price Transparency, Especially Before Point of Care
Generation X puts a premium on knowing the price before buying. In healthcare, this can be difficult to maintain as the exact pricing of a procedure is often guesswork until the end of care. However, for Gen Xers it is critical that your facility keeps pricing as transparent as possible. List out the possible total out-of-pocket maximums, as well as pricing estimates for procedures and services. Even if the pricing reflects estimates, having numbers to work with goes a long way towards achieving transparency.
Target Generation X Early in the Healthcare Conversation
According to our survey, 81% of Generation X believes that the ability to discuss their ability to pay for care with their provider is important. Having candid discussions over the price of care, and potential payment plans is an important step in providing for your Generation X clients. Provide figures and statistics on pricing estimates and total minimums or maximums for payment. Address the issue of cost and payment vehicles early in the healthcare plan conversation.
Provide Flexibility in Payment
For Generation X, flexibility in healthcare payment is important. 61% desired flexibility in healthcare payment according to their needs and 43% stated that they were likely to switch providers for access to low-interest of no-interest payment plans. 81% of Generation X also wished to discuss financing and payment plans with their providers. To compete with Generation X you’ll need to provide a measure of flexibility in payment plans and options. Offering financing plans with no-interest or low-interest options is critical, as well as allowing for flexibility and modifications to monthly payments based on need and ability to pay.
Failing to adequately care for Generation X could lose you access to one of America’s largest demographic groups. With three-quarters of Gen Xers considering themselves the primary health decision makers for their parents and children, taking the appropriate steps to address affordability will strengthen brand loyalty and providers’ bottom line.