According to Gordian Health Solutions, the effectiveness of health promotion programs in improving health and lowering healthcare costs is directly linked to incentives -
o The more substantial the incentives,
o The higher the success rate.
Incentives can range from tokens of achievement, such as t-shirts, water bottles and sports equipment, to more substantial financial awards, such as cash incentives or copay vouchers for the successful completion of a wellness program.
Nationwide Insurance is seeing results from a small incentive program initiated by among the company’s on-site nurses. To encourage lunchtime walking, the worker has informally launched a “shoelace program” modeled after the karate-belt color system.
Staff Members progress through the color scale until they reach “black-lace” status. The reward system has resulted in more workforce making commitments to walk during their lunch hour.
At the high end of the reward spectrum, some corporations pay cash to staff who meet wellness objectives. LuK, Inc. offers staff $250 for kicking the tobacco habit and remaining smoke free for 12 months.
For logging fitness points that add up to 10 miles a month, employees are eligible for health assessments, which may result in reward amounts of up to $225.
The most effective motivator, according to Gordian research, comes through linking participation in wellness programs directly to insurance premiums. Doing so clearly demonstrates to personnel the positive effects of wellness on their own healthcare costs.
Typically, the first step in linking health promotion programming to insurance coverage is lowering deductibles for wellness care or eliminating deductibles altogether. By adding this benefit, companies can encourage staff members to undertake routine screenings and other procedures to respond to medical problems before they become chronic.
Early detection benefits both patient health and employer health costs.
Incentivizing wellness program participation with health care credits
More frequently, businesss are going beyond increased wellness care coverage and looking to demonstrate the importance of wellness by linking participation to employees’ bottom lines.
Worthington Industries has recently rolled out a health promotion program that allows workers to eliminate their portion of the insurance premium by enrolling in a Healthy Choices health promotion program.
During the first year of the Healthful Options program, staff members and their spouses complete Personal Health Assessments and biometric testings to determine their levels of health risks.
Nurses, dietitians and exercise professionals are available to help moderate- and high-risk participants develop individual action plans for improved health through the use of educational materials, behavior modification, telephone help from third-party program health coordinators, and formal health management programs.
By completing the assessments, staff earn their full premium credit. Because some plans at Worthington require no employee contribution, a cash award takes the place of a credit in those cases.
During year two of the wellness program, the wellness bar is raised slightly. To continue to receive the wellness credit, participants in the moderate- to high-risk category will be required to work at establishing goals with third-party health coordinators.
Year three raises the bar again, requiring participants to show progress in meeting objectives and to continue to work with health coordinators to reach objectives.
After year three, Worthington Industries workers are going to be on the wellness track. The organization believes that’ll mean a healthier workforce and cost savings for workers and the organization.
The well being of Worthington personnel is the foundation of this health promotion program, and both personnel and the company are expected to benefit from the long-term advantages of the Healthful Choices Wellness Program.
While Worthington has taken a wide approach to wellness, other businesses have found success in offering incentives in specific areas. Longaberger, for instance, offers a discount on healthcare policies for workers who don’t use tobacco.
A personal employee who does not use tobacco saves $7 per bi-weekly pay. for tobacco-free staff members with family coverage whose families are also tobacco-free, the savings increases to $14 per pay.
The next step – Penalizing harmful behaviors
As it stands, health care is the only type of insurance that doesn’t focus on penalizing for behaviors that put the insured party at risk. With health care costs rising so dramatically, that could soon change.
Just as an accident likely raises auto insurance premiums, increasing premiums for those who engage in unhealthy behaviors is a possible next step in businesss’ attempts to manage health care costs.
Reports that workers would support this type of action are stacking up. One Ohio employer conducted an informal survey that indicated workers would consider it a morale increase when health-conscious workers were relieved of some of the burden of subsidizing care for workers who engage in behaviors that adversely affect their health.
Whether or not this type of health promotion program gains popularity, one thing is sure – the need to control the rise in healthcare costs is becoming ever more pressing.
Take the first step
No matter what the strategy, from offering staff members medical resources to providing incentives for healthy behaviors, businesss have a real opportunity to improve morale and productivity, decrease rates of absenteeism and control health care costs through wellness.
The first step is committing to taking one, no matter what size effort is appropriate for your organization. Big strides start with small steps.


