Mercer health benefit consultants have come up with a short list of what employer health plan sponsors need to keep top-of-mind going forward in the New Year:
- Prepare for 2014 requirements under health care reform. In 2014, employers will be required to offer qualified health coverage to all employees working 30 or more hours per week — so in 2013 they need to determine who those employees are and whether their health plan qualifies. They also need to inform employees about the new state exchanges.
- Evaluate the level of benefits provided. As employers are asked to cover more individuals, they are reconsidering the level of benefits they provide and how much they contribute to the cost. Providing employees with a lower-cost plan (like a consumer-directed health plan) as the core benefit and giving them the option to pay more for richer coverage is one approach gaining momentum.
- Examine whether private health exchanges have a place in the health benefits strategy. While relatively few employers expect to drop their medical plans entirely, some are considering private exchanges for retirees, active employees or both. Exchanges reduce the administrative burden for employers and can give members more flexibility in selecting insurance products to meet their needs.
- Ramp up health management programs for long-term savings. Most employers have some type of wellness or health management program, but is it achieving all it can? Employers should consider offering employees incentives to participate — the payoff is a healthier, higher-performing workforce. Social media’s networking capabilities offer new ways to build engagement
- Rethink where and how care is delivered. Market innovations like telemedicine, surgical centers of excellence and medical homes are starting to transform the health care delivery system.
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8 Comments
Posted by: Marcia F | January 24, 2013 8:27 PM
I've been at this for 40+ years and touted wellness before there were any formal programs on the street. What works is hitting the employees in the pocketbook and then giving them the tools and an education about available resources. I preach the strength of the body to heal itself if you feed it right and exercise. We make no apologies for a high deductible HSA and have sold them for years with an option to buy up if you can't take responsibility for your own health or have the misfortune to inherit a dread disease. It's about time we all started singing from the same song sheet. Low income individuals should receive some help but not a hand out. Perhaps indexing their deductibles to their income would be a better approach. The federal government could lead the way by changing the FEHB plans as well. Who said health care should be low cost for everyone? Most get good health at birth and then spend a lifetime getting sick. We have to change that culture.
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Posted by: corporate wellness ROI, here is how to do it right ! | January 4, 2013 3:49 PM
While I agree with all that was said here, I would like to offer a NEW and better way to promote employee wellness ! Please visit Computerized Screening Inc. This is where the ROI in employee benefits WORKS ! With this, an employer can cover almost everything. Look for us on the web and Check it out...
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Posted by: Phil M | January 4, 2013 12:48 PM
Its just the same old stuff...Ramp up Health Management programs, evaluate benefits, etc. Those continue to be incremental savings/cost shifting. If employers want real savings international medical tourism is the answer. Outsource medical care by encouraging employees to travel for surgery. That will improve benefit plans and save employers money.Yet for some reason EBA and others don't want to talk about it. They just continue to perpetuate the same wellness/health management/cost shifting that employers have done for years leading to the continued 15% rate increases as US hospitals continue to cost shift. Einstein's definition of insanity.
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Posted by: Phil M | January 4, 2013 12:48 PM
Its just the same old stuff...Ramp up Health Management programs, evaluate benefits, etc. Those continue to be incremental savings/cost shifting. If employers want real savings international medical tourism is the answer. Outsource medical care by encouraging employees to travel for surgery. That will improve benefit plans and save employers money.Yet for some reason EBA and others don't want to talk about it. They just continue to perpetuate the same wellness/health management/cost shifting that employers have done for years leading to the continued 15% rate increases as US hospitals continue to cost shift. Einstein's definition of insanity.
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Posted by: Pabase2 | January 3, 2013 1:14 PM
Sorry to disagree with both of you, but wellness incentives do work. However, the new thought process is that it has to be integrated into the cost of the health program that the employee chooses. If 75% of all health claims are generated by individual behavior, clean bathrooms won't reduce health costs unless the employees are eating of the toilet seat and sinks. Risk reduction and cost avoidance is the statistically proven way to reduce costs. My clients have averaged increases of 0% to 3% over the last 4 years. Wellness is meaningless now as a term. If sending emails and flyers to employees saying "Hey don't smoke, exercise, and don't eat fried chicken three times a week hasn't worked, it never will. We all know that. Giving a gift to trigger a positive behavior doesn't work long term either. We do blood draws, determine who is at high risk and they have mandatory engagement with a REGISTERED DIETICIAN for 8 weeks that you must complete to stay on the lower cost plan or get higher deductible reimbursements. Works every time and we have the evidence to prove it. Happy New Year!
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Posted by: Pabase2 | January 3, 2013 1:13 PM
Sorry to disagree with both of you, but wellness incentives do work. However, the new thought process is that it has to be integrated into the cost of the health program that the employee chooses. If 75% of all health claims are generated by individual behavior, clean bathrooms won't reduce health costs unless the employees are eating of the toilet seat and sinks. Risk reduction and cost avoidance is the statistically proven way to reduce costs. My clients have averaged increases of 0% to 3% over the last 4 years. Wellness is meaningless now as a term. If sending emails and flyers to employees saying "Hey don't smoke, exercise, and don't eat fried chicken three times a week hasn't worked, it never will. We all know that. Giving a gift to trigger a positive behavior doesn't work long term either. We do blood draws, determine who is at high risk and they have mandatory engagement with a REGISTERED DIETICIAN for 8 weeks that you must complete to stay on the lower cost plan or get higher deductible reimbursements. Works every time and we have the evidence to prove it. Happy New Year!
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Posted by: WhyNobodyBelievestheNumbers | January 3, 2013 12:18 PM
Agreed -- financial incentives are so 2012. The whole idea that you can save money with a "program" is also bogus, as my book Why Nobody Believes the Numbers amply demonstrates. It's culture-change-or-bust for wellness. Use those incentive payments to clean the rest rooms more often. Your employees will appreciate it more and you'll only spend about 5% as much.
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Posted by: DrTinz | January 3, 2013 11:00 AM
If you're looking for long-term savings, offering incentives to employees for participation in your workplace wellness program is not the way to go.Sure, incentives will improve participation but it's only in the short-term.To engage employees in workplace wellness, create a culture of wellness that permeates the organization, focus on culture fit when hiring, and emphasize intrinsic motivation and self-determination instead of external motivators.
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