State exchanges must focus on design to better inform consumers

Improving layout of exchanges can enable smarter consumer decision-making
Tools

With two open enrollment periods behind us--for the most part--it's time to focus on how an exchange's website design factors into a consumer's choice.

"When it comes to the layout of a site, it's been a bit of a scramble," Peter Ubel, a professor of business, public policy and medicine at Duke University, said in an interview with Stephen Morrissey, managing editor at the New England Journal of Medicine.

During the first round of open enrollment, states that established their own exchanges mostly were concerned with their launch, and not so much the design itself, noted Ubel. States' main goal was to ensure certain aspects worked properly, such as the function that sent a customer's Social Security number to the Internal Revenue Service to determine whether that individual qualified for federal subsidies.

Consumers ran into technical difficulties during the first open enrollment period; on some exchanges, drop-down boxes prevented consumers from answering security questions or establishing new accounts. However, Ubel said, the primary goal of rolling out the exchanges was achieved.

With the second enrollment period nearly closed--many states, as well as Healthcare.gov, have opted to extend the deadline to allow uninsured residents to purchase plans while filing their taxes--states should turn their attention on the next order of business: How exchanges present information to consumers, according to Ubel.

It makes sense to lump plans into categories based on monthly premiums and out-of-pocket costs: The so-called bronze, silver, gold and platinum metal plans. However, the names do not make sense, Ubel said. Everyone knows gold is better than bronze, but many consumers do not realize that the name of the plan refers to premiums and out-of-pocket costs.

To help consumers make more sound decisions, Ubel recommended presenting the information in a different way. Visitors do not see all the available information at once. An exchange could, perhaps, change the font on certain information, and switch which side of the site it's placed on; subtle details can really influence a consumer's decision, added Ubel.

Additionally, consumers want to know exactly how much they will spend on health insurance, including a worst-case scenario situation, and that information isn't always easy to find. A tool that let consumers play out different cost scenarios would be an important function for exchanges to implement, Ubel suggested.

For more:
- listen to the interview

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