I have a pulsing material effect that I want to apply to actors when they receive damage (the player, enemies, bosses, etc). But from my understanding, I need to create that effect multiple times and create a dynamic material for each damageable actor. I’m probably missing something, is there a better way to do this?
One way to get around this is to utilize the use of material functions. You can add whatever effects you want just plug it in and it will instance it to your main materials.
If you’re using UE 5.1 then Overlay Material should be able to help you out. This feature was added exactly for such situations 
As @AyanMiru said! However if you are using a version prior to the 5.1 Unreal Engine version, you can create dynamic material that changes one of the parameters which will trigger the red pulsing.