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Employee Vs. Employer Incentive infographic
1.
VS. P e r
s pective s o n Emplo yee Heal th & Incenti ves Th e C o sts o f Em ploy ee Healt h Em p lo y e r s TABLE NO. $8500 amount spent per employee on health care coverage in 2011 Employees Guest Check NO. PERSONS CHECK NO. 453272 SERVER NO. 2 out of 3 can’t estimate how much their employer spends on health benefits6 Total bill for health care for each employee (employees pick up the difference)1 Total { { $11,176 GUEST RECEIPT NO. PERSONS 61% DATE CHECK NO. 453272 AMOUNT View employees’ poor health habits as the biggest challenge to maintaining affordable benefit coverage2 23% $100 $100 Calculated the monthly spend by employers to be less than $500 per month $100 $100 $100 Many are not aware of the connection between their health a n d t h e h e a l t h c a r e d o l l a r, o r t h e p o si t i v e i m p a c t o f r e l a t i v e l y sma l l behavioral changes We l l n e ss Pr o g r am In c en t iv es E mpl o y e e s Em ployers To improve employee health 65% offer wellness programs 3 Most don’t want to feel forced to participate in wellness7 Agree Used incentives with wellness programs Used incentives with condition management agree that employers are right to offer wellness programs in an effort to control health care costs 77% favor offering a financial reward to those who meet specific health goals 80% 2011 Disagree 2012 How incentives are used5: oppose charging more for health coverage if they do not participate in wellness programs 68% 44% provide an incentive based on tobacco-use status 29% base on achievement of outcomes such as body mass index or cholesterol 22% apply surcharges to employees for not participating in wellness programs 35% oppose charging more for health coverage if they don’t meet health goals 71% N e w Gu i d a n ce on In c en t iv es To make outcomes-based incentives fair and effective with improving employee health, recently published guidance9 suggests the following: Avoid using a reward or penalty that is so large it discourages participation. Use the 4 most common targets of weight, cholesterol, blood pressure and tobacco use. Reward for progress toward the standard targets, instead of just rewarding those who meet the goal. Help employees integrate healthy behaviors by offering personalized support, such as a health coach, so they are more likely to internalize and sustain healthy behavior changes over time. For employees with a medical condition that makes it difficult to achieve the health standard, defer to the employee’s health care provider for a reasonable alternative standard or a waiver. To read more about the JOEM guidance on outcomes-based incentives, visit www.the-hero.org. Sources: The Road Ahead: Shaping Health Care Strategy in a Post-Reform Environment, Towers Watson/National Business Group on Health, 2011 2 Performance in an Era of Uncertainty, Towers Watson/National Business Group on Health, 2012 3 Health Care Survey, Aon Hewitt, 2012 4 Ibid. 5 “Large Employers Expect Health Benefits Costs to Increase 7% in 2013, SHRM 6 “The U.S. Health Consumer is Health-Finance Illiterate and Resistant to Linking Wellness to Health Plan Costs,” Health Populi, July 30, 2012 7 “Perceptions of Health Benefits in a Recovering Economy: A Survey of Employees,” National Business Group on Health, July 26, 2012 8 Health Care Survey, Aon Hewitt, 2012 9 “Guidance for a Reasonably Designed, Employer-Sponsored Wellness Program Using Outcomes-based Incentives,” Journal of Occupational and Environmental Medicine, July 2012 1 © 2012 Health Fitness Corporation