AI can ultimately improvecustomer experience by delivering a better product at a betterprice and with greater convenience.

Although artificial intelligence still may sound likesomething out of a 1950s science fiction thriller, it's alreadyrevolutionizing the way employee benefits are researched, purchasedand deployed. And the benefits industry is quickly catching up withcutting-edge consumer technology.

"This year, 56.3 million personal digital assistants will shipto homes, including Alexa, Google Assistant and Apple's new HomePod," says Tonia Degner, chief strategy officer for freshbenies inMcKinney, Texas. Her company offers practical tools to controlhealth care costs with telehealth, doctors online, advocacy andsavings networks for prescriptions, dental, vision, chiropracticand other services.

Related: How artificial intelligence can enhance benefitsprograms

"That's a 40 percent increase from the impressive growth of 33million sold in 2018," she says. "Consumers are quickly changingwhere they shop, organize and get information. It's important thatwe move quickly to offer the experience customers want andneed."

A more intelligent guide

AI can perform the same tasks as humans, but much more quicklyand efficiently, says Marcia Otto, vice president of product forHealth Advocate in Plymouth Meeting, Pennsylvania. Health Advocateis a health concierge and benefits solutions company providinghealth advocacy, navigation and integrated benefit programs.

"Artificial intelligence analyzes data to detect patterns anddetermine potential responses to different stimuli," Otto says. "Byapplying AI to employee benefits, we can detect the different waysmembers should be using or accessing their benefits and thenrespond as needed to help guide them to the right resources.

"For example, AI not only identifies those members who havechronic conditions, but then helps lead them toprograms that can help them take steps toward better health.Similarly, for those not adherent to medications, AI can sendalerts and connect members with a coach or other benefit to getthem on track."

Degner compares AI applications in the benefits industry to whatit already does for consumers. "At first, I was happy just to askmy Alexa to play music and set timers, but now it's the hub for myhome. Alexa shops for my groceries, provides news stories,organizes my day and much more."

What could Alexa and AI do for health care? Here are a fewexamples:

• "Alexa, what's left on my health plan deductible?"
• "Alexa, find a provider in my network within five miles."
• "Alexa, search for Protonix pricing at my localpharmacies."
• "Alexa, find a five-star rated health insurance broker within20 miles."

AI can ultimately improve customer experience by delivering abetter product at a better price and with greater convenience.

"AI is coupling claims data with online behavior within pricingtransparency tools, engagement platforms and more, to drive peopleto high-value care that can help close existing gaps in care," Ottosays. "Because AI looks at vast amounts and types of data, it canbe applied to both health plans and other benefits to maximizevalue and drive engagement.

"For example, these tools can help determine whether members areenrolled in the best plan for them and using their benefitsappropriately, and then help direct them to the resources that willbe most impactful."

Benefits applications

The variety of ways in which AI can be applied to the benefitsindustry is limited only by the human imagination, says DanShields, vice president, product specialist of data-drivensolutions for Health Advocate.

"By utilizing and analyzing massive amounts of data, we canapply artificial intelligence to build and run multiple models toanticipate what will happen next and respond accordingly," he says."In the employee benefits landscape, AI allows us to anticipateneeds, such as predicting high-cost claimants in advance, so we canproactively address potential future expenses.

"From identifying who will be high-cost claimants in the future,to plan selection tools, to resources to coach people toward bettercare, existing AI tools and capabilities are already enabling bothbrokers and HR pros to get ahead of the curve."

One of the biggest challenges that brokers face is evaluatingthe array of new AI products to determine which are best suited for their business andclient base.

"Brokers should ask themselves, 'Does the technology actuallylead the member to make a better decision or take action to improvetheir health?'" Otto says. "AI has so much potential, but we needto be smart in how we apply it. The most effective programs providemultiple vehicles or channels to meet each person where they areand connect and communicate in their preferred channel—which ismore effective than a one-size-fits-all approach."

Degner advises brokers to beware of what she calls MVP: theminimum viable product. "It can be tempting to adopt or release newtechnology with speed in mind. There's definitely a benefit tomoving fast, but it's far better to be sure a new technology isreliable and helpful to your team and clients than to focus on aspecific timeline. A product rolled out before it's completelypolished could come with glitches that make it unreliable andfrustrating for users."

Also important to consider is how the new product fits in withthe company values in areas of service, sales and marketing.

Finally, Degner recommends ensuring you keep the focus on thecustomer by asking these three questions:

• Is it easy and intuitive to use?
• Does it create more work or frustration for the client?
• Are there newer trends that could add value?

The human component

One of the greatest concerns with any new technology is that itmight one day take the place of humans. This is especially true inwhat has traditionally been a highly personal business.

"As great as AI is and has the potential to become, it isimportant to remember that most people still want someone to talkto about their health and benefits," Shields says. "While AI,machine learning and similar approaches provide actions for membersto consider, as well as the tools to do it, people may still needencouragement and support from a live expert in order to take thenext step. When evaluating new tools, it is important to find aprogram that integrates high-tech and high-touch support in orderto maximize success and help users navigate and put the AIrecommendations into action."

Degner agrees, noting, "If used correctly, it can only enhancethe relationship between brokers and clients. Brokers are going tobe seen as advisors and advocates who are coming to the table witha deeper understanding of the metrics and a more-personalizedexperience. There will not be a machine substitute to the advisorrole that brokers fill."

However, brokers must be more vigilant than ever aboutcybersecurity and data protection. "Data is what makes machinelearning and AI work," Degner says. "Without data, there's nothingto mine, and that means there's no information from which to learn.Due to the sheer amount of data that machine learning technologycollects and consumes, privacy will be more important thanever.

"Also, there's potential for a lot more personally identifiabledata to be collected. It will be imperative that companies payattention to masking that data so the specific user is notrevealed. These steps are critical to ensure you and your customerare protected as laws continue to catch up with this emergingtechnology."

This data must also be managed efficiently to maximizeresults.

"You're already collecting a lot of data on your clients, ofwhich you may not be taking full advantage," Degner says. "As moredata are collected, it's important to keep it organized so that youcan use it effectively to gain insights and help your clients. Dataarchitecture is a set of models, policies, rules or standards thatgovern which data is collected and how it is stored, arranged,integrated and put to use in data systems and in organizations. Ifyou're not already thinking about this, it might be a good idea toconsult with a developer to get help."

The bottom line is that AI can be a powerful tool for brokerswho are prepared to take advantage of it. "Brokers need to educatethemselves about the latest developments, stay on top of it and beopen to new ideas," Shields says.

Brokers have already demonstrated the ability to be flexible andlearn new skills as they arise, Degner says. "They should do thesame with technology—educate themselves through articles andwebsites about technology. Pay close attention to how otherindustries are taking advantage of them and stay vigilant.Remember, shiny and new is great, but longevity is found infocusing on the right outcomes for your company and customer."

Read more: 

• How will AI affect your business?
• How technology can help doctors recommend cheaperalternative drugs
• Machine learning ready to rock the health careindustry