Caring Smarter: Why Cost-Effective Caregiver Support Is Good for Business in 2025

“When employers and I are talking about how to define ROI, the question actually starts with you,” said Jess Brown, VP of marketing at Cariloop.

“Are you trying to decrease leave claims? Are you trying to decrease retention of working parents in the workforce after they return from leave? Are you trying to be ranked as a number one employer in your segment?” she asked during a thought leadership spotlight at From Day One’s January virtual conference.

The inquiry into ROI arises out of employees’ need for effective care benefits as the costs of American employer-sponsored healthcare are expected to increase by 9%. This will cost over $16,000 per employee by 2025.

However, Brown urged organizations to consider what is more detrimental to their long-term financial stability and productivity. 

For example, caregiving employees often take leave to care for their families, but many eventually need time off for their own health. Some are even forced to leave their jobs entirely. This leads to higher costs for organizations, which must recruit, interview, and train new talent—while also facing productivity losses when key employees are absent.

Brown emphasized that providing effective caregiver support isn’t just a benefit for employees, it’s a practical, sustainable strategy that helps companies retain talent and manage costs.

Effective Caregiver Support Solutions  

Effective caregiver support includes predictable and flexible solutions outside of the reimbursement model, which has substantial costs. Brown advised organizations to assess potential benefit providers for reliable models that protect rather than drain their budget. “And when it comes to predictability and flexibility, some bold questions I would ask are, ‘how can you guarantee that we will not face unexpected overages from misuse and fraud?’” 

She also encouraged employers to inquire about customizing the parameters around programs based on company goals. “Some employers say, ‘Jess, I want this to be used only during work hours, only for child care, only when regular care isn't available.’ And some employers say, ‘Jess, I just want them to use it because the reason we're implementing this program is just to satisfy a desire and a need for general caregiving support.’” 

Effective caregiving programs should address employees' rising costs and navigation challenges while ensuring HIPAA compliance. A proactive, sustainable approach involves investing in innovative solutions, including licensed coaches who provide comprehensive caregiving support.

Lastly, Brown emphasized that caregiving support has to be integrated into the employee experience. She advised employers to ask providers, “[H]ow they track and record for preventing leave claims for working caregivers and how they measure that on an ongoing basis, and then how they can embed their support overall into the caregiving journey.” 

How can companies confirm ROI? After identifying their unique goal, what caregiving solution achieves that goal, and gathering the data that aligns with it, they can choose providers who integrate that data into their offers and programs. “So when people come to me and say, ‘Jess, how do you prove the ROI of your caregiving benefit?’ I need to say, ‘First, I need to understand why you want a caregiving benefit.’” 

Ongoing Care Support Trends 

Cariloop provides inclusive caregiving benefits, combining expert guidance from Care Coaches, digital tools, and a supportive care provider network to assist caregiving employees.

Gathering data from their clients, Cariloop has identified the most significant concerns workers experience in their search for adequate caregiver support benefits.

In 2024, one trend observed was that 71% more clients requested consultations with Cariloop to explore health insurance options amidst increasing premiums. 

Next, 73% of their services were requested to find daily, affordable child care for working parents.  

Lastly, many clients requested information on Medicare and Medicaid to help those they cared for gain access to services after pandemic assistance policies ended. 

“And now we enter 2025. And quite frankly, it's time for change,” Brown spoke about the need to shift trends and invest in more effective solutions in the new year. 

“The child care, the caregiving problem as a whole is a detriment to the business, a detriment to our employees’ lives. And we need something that is more predictable and affordable and scalable and flexible for our workforce. And that’s what’s happening right now.”

Editor's note: From Day One thanks our partner, Cariloop, for sponsoring this thought leadership spotlight. 

Stephanie Reed is a freelance news, marketing, and content writer. Much of her work features small business owners throughout diverse industries. She is passionate about promoting small, ethical, and eco-conscious businesses.