Gen Z Turns to AI for Benefits Decisions Amid Rising Cost-of-Living Pressures
Event summary
- 43% of U.S. workers are unsure about choosing the right benefits, with 17% using AI tools like ChatGPT during open enrollment.
- 94% of Gen Z workers who used AI trusted its recommendations, with 59% comparing benefits options and 51% seeking personalized advice.
- Half of U.S. workers worry more about daily expenses than long-term financial security, with 73% of blue-collar workers considering supplemental health benefits part of their financial plan.
- The Hartford’s 2026 Future of Benefits Study surveyed 1,000 U.S. workers between December 3–11, 2025.
The big picture
The Hartford’s study highlights a strategic shift in how younger workers navigate rising living costs, with AI emerging as a key tool for benefits decision-making. This trend reflects broader industry moves toward digital personalization in employee benefits, particularly as financial stress pushes workers to seek cost-effective coverage solutions. The findings underscore the growing role of insurers in providing accessible, AI-backed guidance to bridge gaps in traditional benefits education.
What we're watching
- AI Integration
- How The Hartford and other insurers will adapt benefits platforms to integrate AI-driven decision-making tools for younger workers.
- Cost-of-Living Impact
- Whether rising daily expenses will further drive demand for supplemental health benefits among blue-collar workers.
- Trust Dynamics
- The pace at which Gen Z’s trust in AI for financial decisions evolves beyond benefits into broader financial planning.
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