eHealth Introduces AI Voice Agents to Enhance Customer Experience in Health Plan Selection

Rhea-AI Summary

eHealth has launched AI-powered voice agents to revolutionize health insurance plan selection. The new AI system, initially deployed for Medicare calls, has achieved impressive results with a 100% answer rate and nearly doubled customer interest in purchasing plans (34.5% vs 18.5% with human screeners).

A recent survey reveals strong consumer acceptance, with 74% of people willing to interact with AI assistants for customer service. The AI agents streamline information gathering, handle eligibility checks, and provide 24/7 service with zero wait times.

Key achievements include:

• 60% of callers rate their experience as exceptional
• Eliminated after-hours waiting times
• More cost-efficient than human screeners
• Enhanced accuracy in customer information gathering

The system currently handles Medicare calls and is expected to expand to other insurance types, working alongside licensed agents who remain essential for final plan selection.

Positive

• AI voice agents doubled customer conversion rate to 34.5% vs 18.5% with human screeners
• 100% call answer rate achieved, eliminating after-hours wait times
• 60% of callers rated their experience as exceptional
• AI agents are more cost-efficient compared to human screeners
• Successfully expanded from after-hours to business hours operations

Negative

• Heavy reliance on AI technology could pose operational risks if system fails
• Significant investment in AI infrastructure may impact short-term profitability
• AI agents currently limited to Medicare calls only, showing limited scope

Insights

Digital Transformation Strategist

eHealth's AI voice agents show promising early results with doubled purchase interest rates and meet strong consumer demand for AI assistance.

eHealth's implementation of AI-based voice agents represents a strategic application of technology addressing specific friction points in the insurance shopping journey. Their data-driven approach has yielded compelling early results, with the AI system nearly doubling the percentage of callers expressing interest in purchasing plans (from 18.5% to 34.5%) compared to human screeners.

The phased implementation demonstrates disciplined technology deployment - starting with after-hours Medicare calls before expanding to business hours on a pilot basis. This measured approach allows for optimization while minimizing disruption. The 100% answer rate and elimination of wait times directly addresses primary customer frustrations identified in their research, where 66% cited long hold times as their biggest pain point.

Consumer readiness data is particularly noteworthy, with 74% of surveyed individuals willing to interact with AI assistants in customer service contexts. This alignment between implementation strategy and consumer expectations suggests eHealth is responding to market demands rather than pursuing technology for its own sake.

The handoff mechanism between AI-based intake and licensed insurance agents creates a hybrid approach that leverages automation for routine processes while maintaining human expertise for complex decision-making and compliance requirements in the heavily regulated insurance space.

Financial Analyst

eHealth's AI implementation shows potential for improved conversion rates and operational efficiency during critical enrollment periods.

eHealth's AI voice agent deployment addresses two critical business levers simultaneously: customer conversion efficiency and operational cost management. The near-doubling of callers expressing purchase interest (from 18.5% to 34.5%) represents a substantial improvement in top-of-funnel conversion that could significantly impact revenue generation when scaled across call volumes.

The timing of this implementation is strategically significant, positioning the company for the high-volume Medicare Annual Enrollment Period when operational capacity constraints typically limit growth potential. By enabling 100% answer rates and eliminating wait times, the system addresses key abandonment drivers in the customer acquisition funnel.

On the expense side, the explicit mention of cost efficiency compared to human screeners suggests meaningful operational leverage. The customer intake function represents a substantial cost center for insurance marketplaces, and technology that reduces these expenses while improving conversion metrics creates favorable unit economics.

The consumer satisfaction data (60% rating their experience as exceptional) indicates the implementation is achieving positive customer outcomes while driving operational improvements. This dual benefit is particularly valuable in the competitive online insurance marketplace sector where user experience directly impacts conversion rates.

New capability uses artificial intelligence (AI) to help streamline and improve how consumers comparison shop for health plans

New research finds 74% of people are willing to interact with an AI assistant when calling customer service

AUSTIN, Texas, April 30, 2025 /PRNewswire/ -- eHealth, Inc. (Nasdaq: EHTH), a leading private online health insurance marketplace, today unveiled a new AI-based voice, non-licensed agent designed to streamline the health insurance plan selection process. This launch marks a significant milestone in eHealth's ongoing, multi-year strategy to leverage AI empathetically, enhancing the expertise of licensed insurance agents to provide an exceptional consumer experience.

The AI-based voice agents started by handling incoming Medicare calls to eHealth during after-hours, reducing the wait time for consumers who may otherwise need to wait longer to speak with a human screener. The AI-powered voice agents can enhance the customer experience by initiating the customer intake process, gathering personal information, checking initial eligibility, and communicating necessary disclosures.

Since launching as a pilot earlier in 2025, among callers served by the AI agents, the program has:

• Eliminated after-hours wait times and ensured a 100% answer rate.
• Nearly doubled the percentage of callers (18.5% compared to 34.5%) who expressed interest in purchasing a plan, as compared to human screeners.¹  

The AI-based agents have expanded from initially handling after-hours calls to now assisting with incoming Medicare calls during business hours on a pilot basis. In the future, the AI agents are expected to serve people calling eHealth shopping for other types of insurance plans.

"AI has the potential to significantly improve the quality and efficiency of the shopping experience we offer, virtually eliminating waiting times for initiating the health insurance shopping process. This is particularly crucial during Medicare's busy Annual Enrollment Period," said Ketan Babaria, Chief Digital Officer at eHealth. "Licensed insurance agents remain essential as expert guides. AI-based voice agents can help facilitate a more seamless shopping experience and more effectively connect callers to real people who are licensed and can assist in selecting the right plan."   

In addition, a recent eHealth survey of over 500 consumers found significant interest in the use of AI to improve the experience when calling customer service.² Among the findings from the survey regarding customer service in general: 

• 74% are willing to answer a few questions from an AI assistant if it means getting faster and better help later in the process. 
• 56% agree that working with an AI assistant can provide them with faster, more accurate help.
• 66% said long hold times are the biggest frustration when calling customer service, followed by difficulty reaching a real person (59%) and poorly trained agents (42%). 

Babaria added: "The response from our customers has been amazing, with 60% of callers rating their experience as exceptional. With consumers increasingly expecting on-demand service 24/7, we expect AI to serve as a powerful tool in making that possible."

Key features of the new eHealth AI-based voice agents:

• Streamlined information gathering. Using a conversational approach, the AI-based voice agents gather key details, including personal information, initial eligibility, and plan preferences. By streamlining the process, the AI agents can eliminate wait times and reduce the effort required for callers to shop for health benefits, making the plan selection process more accessible for everyone.
• Enhanced accuracy and cost efficiency. Using advanced algorithms and voice-recognition technology, the AI agents help minimize errors and ensure callers are matched with an appropriate licensed insurance agent to then review appropriate plan options based on location, health care goals and budget. Compared to human screeners, the AI agents are more cost efficient.
• User-friendly and consistent service: The intuitive experience of the AI-based voice agents enables users to provide initial information more easily and start the plan selection experience, while expediting the process once the caller is connected to a live, licensed insurance agent. The AI agents are designed to answer all customer questions with empathy and patience, with feedback from callers emphasizing feelings of being respected and valued.

About eHealth (NASDAQ: EHTH)
We're Matchmakers. For over 25 years, eHealth has helped millions of Americans find the healthcare coverage that fits their needs at a price they can afford. As a leading independent licensed insurance agency and advisor, eHealth offers access to over 180 health insurers, including national and regional companies.

For more information about eHealth, visit ehealth.com or follow us on LinkedIn, Facebook, Instagram, and X. Open positions can be found on our career page.

eHealth media inquiries: pr@ehealth.com

Investor Relations Contact:
Kate Sidorovich, CFA
Senior Vice President, Investor Relations & Strategy
investors@ehealth.com 

Forward Looking Statements
This press release contains statements that are forward-looking statements within the meaning of federal securities laws. Forward-looking statements in this press release include, but are not limited to, statements relating to the following: our investment in AI-based voice agent capabilities and expected impact of these investments on our business; our expectations regarding call times, quality and efficiency, customer experience, expectations and acceptance, and the effectiveness of our live agent services, with the AI capabilities; expected cost savings achieved by the AI-based voice agent capabilities; our expectations regarding our technological and operational capabilities and timing; our business, industry and market trends, including market opportunity, consumer demand and our competitive advantage; and other statements regarding our future operations, financial condition, prospects and business strategies.

Forward-looking statements are inherently subject to various risks and uncertainties that could cause actual results to differ materially from the statements made. The risks and uncertainties that could cause our results to differ materially from those expressed or implied by such forward-looking statements include those described in eHealth's most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission and available on the investor relations page of eHealth's website at https://www.ehealthinsurance.com/ and on the Securities and Exchange Commission's website at www.sec.gov.

¹ Internal eHealth analysis of after-hours Medicare calls served by AI agents, 2025
² Findings are based on a survey of 508 Americans drawn from the general population; the survey was conducted through a third-party survey vendor in April of 2025 and had a probability sampling error of +/-4%.

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SOURCE eHealth, Inc.

FAQ

How successful is eHealth's (EHTH) new AI voice agent pilot program in 2025?

eHealth's AI voice agent pilot has achieved 100% answer rate for after-hours calls and nearly doubled customer conversion rates from 18.5% to 34.5% compared to human screeners.

What percentage of customers accept AI assistance for eHealth (EHTH) customer service in 2025?

According to eHealth's survey, 74% of customers are willing to interact with AI assistants during customer service calls if it means getting faster and better help later in the process.

How does eHealth (EHTH) use AI voice agents for Medicare enrollment?

eHealth's AI voice agents handle Medicare calls during after-hours and business hours, gathering personal information, checking eligibility, and communicating disclosures before connecting callers to licensed agents.

What are the main benefits of eHealth's (EHTH) new AI voice assistant technology?

Key benefits include eliminated wait times, 100% call answer rate, improved conversion rates, streamlined information gathering, enhanced accuracy, and cost-efficient operations compared to human screeners.

What is the customer satisfaction rate for eHealth's (EHTH) AI voice agents?

60% of callers rate their experience with eHealth's AI voice agents as exceptional, with customers particularly appreciating the elimination of wait times and improved service accessibility.