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Gen Z and Healthcare Benefits: Flexibility and Mental Health Take Center Stage

, | November 26, 2024 | By

Nov Blog 4As the youngest generation entering the workforce, Generation Z brings a fresh and evolving perspective on healthcare. "It's okay not to be okay." This simple phrase embodies Generation Z's revolutionary approach to healthcare, especially when it comes to mental health. Born between 1997 and 2012, Gen Z isn't just participating in healthcare—they're actively reshaping it, breaking down stigmas, and demanding services that align with their digital-first, mental health-aware lifestyle (NIH, 2024).

A Generation Redefining Healthcare Expectations

Gen Z values autonomy and flexibility in their healthcare. Unlike previous generations, they are not loyal to a specific healthcare provider and often opt for virtual care over traditional in-person visits. In fact, Gen Z and Millennials use virtual healthcare visits 2.5 times more often than older generations (United Healthcare, 2024). Many Gen Zers do not have a primary care physician (PCP) at all, preferring on-demand healthcare for acute issues (Ench, 2023). Employers offering telemedicine, online appointment booking, and easy access to digital health tools will align well with this generation’s preferences.

Mental Health: From Taboo to Priority

The numbers tell a compelling story: young adults aged 18-25 show the highest prevalence of Any Mental Illness (AMI) at 36.2%, significantly higher than older generations (NIH, 2024). During the pandemic, Gen Z was 83% more likely to report anxiety and 86% more likely to experience depression compared to other age groups (World Economic Forum, 2023). Their response? Making mental health conversations mainstream, with 39% regularly engaging in in-person or online therapy (World Economic Forum, 2023).

Financial Wellness and Preventive Care

Cost is another key factor shaping Gen Z’s healthcare decisions. Many avoid visiting the doctor due to financial concerns, time, and inconvenience, often seeking care only when absolutely necessary (Ench, 2023). Employers can meet this challenge by offering affordable, transparent healthcare plans that focus on preventive care. By reducing out-of-pocket costs and emphasizing wellness programs, employers can help Gen Z maintain both their physical and mental health without breaking the bank.

The Role of Employer-Sponsored Clinics

Employer-sponsored primary care clinics can be a great fit for Gen Z’s healthcare needs. These clinics offer convenient, low-cost options for preventive care, mental health support, and chronic disease management, allowing Gen Z employees to access care without navigating complex, external healthcare systems. The flexibility of on-site or near-site clinics also aligns with their preference for easy, quick access to healthcare services, whether in-person or through virtual options.

Looking Forward

As Gen Z continues to enter the workforce, their influence on healthcare delivery will only grow. Their demand for digital-first solutions, mental health awareness, and convenient, transparent care is already shaping workplace benefits. By blending digital convenience with comprehensive support—especially in mental health—employers can ensure their Gen Z workforce feels supported every step of the way. 

 

References

Ench, S. (2023, September 19). Evolving Generational Values in Workforce Benefit Plans. Accu Source HR.  https://www.accusourcehr.com/blog/evolving-generational-values-in-workforce-benefit-plans

National Institute of Mental Health (NIH). (2024, September). Mental Illness. https://www.nimh.nih.gov/health/statistics/mental-illness

United Healthcare. (2024, July 24). Multigenerational workforces demand different health care experiences. https://www.uhc.com/agents-brokers/employer-sponsored-plans/news-strategies/multigenerational-workforces-demand-different-health-care-experiences

World Economic Forum. (2023, September 26). How Gen Z are reshaping the healthcare industry. https://www.weforum.org/agenda/2023/09/how-gen-z-are-reshaping-the-healthcare-industry/

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