According to Watson Wyatt “managing costs and boosting workforce productivity are the top reasons for adopting a global health care risk management strategy.”
A two-phased Metlife study with approximately 2,093 employers and 1,976 employees from North America showed “the initial significant insight gained from this year’s Study is that employees, faced with new economic realities, place a greater value on their benefits.” Furthermore, “the Study also indicates that 40% of employees say benefits play an important role in their decisions about whether to remain with their employer.”
Thus, initiatives which reduce healthcare costs and improve health results are beneficial. An example of this type of program is the Diabetes Ten City Challenge. William Ellis, CEO of the American Pharmacists Association Foundation, writes “with annual costs of $174 billion, diabetes not only accounts for more than 15 million work days absent, 120 million work days with reduced performance and an additional 107 million work days lost due to unemployment disability attributed to diabetes, but it also multiplies the potential for heart disease, stroke, blindness, amputations and kidney failure.”
The basis of this initiative is that co-payments for employees who meet with a "pharmacist coach" are waived. Coaches help employees "track their A1C, blood pressure and cholesterol and manage their disease through exercise, nutrition and other lifestyle changes." Annual cost reductions average $1,079 per patient, reports Joanne Wojcik of Workforce Management. Furthermore, this model has been used for other chronic diseases successfully.
Certainly the following elements contributed to the success of the program: employee involvement in their own care, the availability of resources to increase understanding and improve communication and ongoing support.
References:
Ellis, William M. “The Diabetes Ten City Challenge.” The Diabetes Ten City Challenge [www.diabetestencitychallenge.com]. 2009.
The Diabetes Ten City Challenge. “Diabetes Ten City Challenge Reduces Health Care Costs and Improves Patient Health.” Press release [www.prnewswire.com]. April 6, 2009.
Metropolitan Life Insurance Company. Study of Employee Benefits Trends, Seventh Annual. New York: MetLife®, 2009.
Watson Wyatt Worldwide. “2009 Global Health Care Strategies.” Watson Wyatt Worldwide [www.watsonwyatt.com]. 2009.
Wojcik, Joanne. “Diabetes Disease Management Pilot Program Yields Big Cost Savings.” Workforce Management [www.workforce.com]. April 13, 2009.