Moving Employees in a Healthy Direction

Health experts estimate that poor employee health costs companies more than $10,000 per employee household, per year, and traditional work-based health care plans are no longer adequate to address the growing number of workers who have chronic diseases or who may be at risk of developing long-term health problems.

A recent study by Hewitt Associates shows that more employers are moving toward a concept known as population health management (PHM). Of the 500 U.S. companies surveyed in the Hewitt study, 88 percent plan to make investments in comprehensive, long-term solutions aimed at improving the health of their workforce — up from 63 percent last year.

An offshoot of the disease-management industry, PHM is a concept that helps companies identify employees who have or who are at risk of developing chronic health problems, then helps them build employer-based programs to improve the health of the workforce.

Like the organizations in the Hewitt study, companies are banking on PHM to reduce overall costs and improve employee productivity. However, such programs can encompass a complex, interconnected matrix of education, coordinated programs and individual care management. To simplify their PHM efforts, many organizations look to outside experts for help.

Shifting priorities

Fostering basic preventive health care practices is the focus of most employers’ PHM programs.

It’s not that workers don’t understand the benefits of being healthy. According to a separate Hewitt study of 30,000 employees, a full 95 percent believe that taking care of their health now will save them money in the future. But although 88 percent claimed they took part in healthy activities, when asked about specific behaviors, less than half said they ate right or exercised regularly.

More concerning was the admission by 30 percent that did not go to the doctor when they were sick. Of those who did seek medical attention, 27 percent did not fill the doctor’s prescription. Most said cost was the main barrier to visiting a doctor and buying prescription medicine.

Companies are concerned about these costs as well. But rather than shifting growing health care expenses to employees, executives believe improving overall worker health and productivity is a more meaningful business investment.

In the Hewitt study, 93 percent of companies said they have already identified their population’s chronic conditions and plan to target them over the next three to five years. Half of the businesses provide or plan to provide health and productivity management programs specifically tailored to meet employee health risks.

Such programs incorporate a variety of efforts to promote a more proactive approach to health care and may include:

• Enhanced medical and prescription-drug benefits for employees who have one or more chronic conditions
• Using incentives, such as reduced insurance rates, that can help motivate employees to change their health behaviors
• Implementing value-based design (VBD) programs that reduce or remove financial barriers for access to health care services that have proven to be successful in treating certain conditions

As companies approach PHM from various angles, the complexities of successfully implementing one or more of these approaches requires solid data, employee participation and tools to measure an organization’s return on investment.

Because few organizations have the internal resources to plan, implement, manage and maintain a healthy PHM initiative, they are turning to experts in Integrated Health and Care Management who offer a suite of services to address the unique needs of individual employee groups.

Putting employees first

The most successful PHM programs focus on helping employees manage their chronic diseases and motivating at-risk employees to adopt more healthy lifestyles.

In the Hewitt study, 67 percent of surveyed companies will use health care data and measurements to drive future strategies by using tools such as employee health risk questionnaires (HRQs).

HRQs provide valuable information about the total health of a workforce and help identify individuals who can benefit the most from disease management. With "coaching" from registered nurses, employees gain a better understanding of their illnesses and are guided toward behavioral changes that lead to a healthier lifestyle.

PHM programs encompass a wide range of strategies and programs to address the complex nature of building a healthier workforce. Integrated health and care management puts the employees at the center of the process by giving them appropriate tools and removing barriers for success.

Comprehensive PHM efforts can include:

• Telephone triage to help employees access the most appropriate care
• Disease management and prevention programs
• The involvement of physicians, pharmacists and other health care providers
• Case management for acute medical care
• Ongoing programs that promote and reward healthy lifestyle choices

PHM is about improving your organization’s overall health status. By coordinating care to provide the right care at the right time and the right place, you can reduce health care costs. To learn more, contact our business development professionals at 1.800.222.077.