Bruce
Japsen, Contributor
I write about health care and policies from the president's
hometown
3/25/2013 @ 9:00 - Forbes
Like CVS, More Employers Penalize Workers That Snub Wellness Exams
More employers are moving toward strategies like CVS/Caremark (CVS) to
penalize workers who donft submit to wellness screenings or other health
reviews, a
new analysis shows.
New data from Aon Hewitt,
(AON) the large global human resources consultancy, shows nearly 60 percent of
U.S. employers plan to gimpose consequences on participants who do not take
appropriate actions for improving their healthh in the next few years such as
completing a health risk questionnaire.
CVS
made headlines last week after it began telling workers they must take part
in a gwellness reviewh or face an annual penalty of $600. Such reviews ask them
to have physicians determine various health indicators such as weight, blood
pressure or body fat.
gMore and more companies like CVS
Caremark are moving to a more health-centric culture, which includes the
belief that employees must be on their own path to better health,h said Jim
Winkler, chief innovation officer for health and benefits at Aon Hewitt.
gAs a result, employers are increasingly adopting this type of ehouse
money/house rulesf approach. Whether itfs through a reward or consequence, they
are reserving a portion of their health care dollars for those employees who
exhibit good health behaviors or who can show measurable progress toward their
health goals.h
Already five percent of companies that offer incentives for participating in
a program that helps workers become aware of their health status offer
gincentives in the form of a consequenceh if they donft take a health risk
questionnaire or participate in a gbiometric screening,h which generally
includes a blood test for cholesterol or a glucose measurement.
While the penalties are becoming more prevalent, rewards for pursuing good
health are far more common. Most companies, or 64 percent, offer monetary
incentives of between $50 and $500 to participate in a program that helps
workers become aware of their health status. Nearly one in five workers, or 18
percent, offers $500 or more.
The incentives can include reduction of the premium cost that is deducted
from a workerfs paycheck or be a cash payment or come in the form of gift cards.
The incentives are used in hopes that workers will adopt a healthier lifestyle,
lose weight and help workers stay out of the hospital and save the employer
money on their growing tab for health care.
gSome companies strongly believe that getting an annual screening and taking
an annual wellness review are highly effective tools in early detection and
prevention of chronic illness,h Winkler said.
In CVSf case, a company spokesman said last week that the pharmacy chain
wants gto help our employees to be as healthy as they can be, which is why we
decided to implement this plan,h according
to a report.
Despite concerns about privacy, employers donft know how the tests turned out
or what the employeefs cholesterol reading was. Rather, the employer simply
knows whether the worker took the test or not. The tests and screenings are
designed to let the employee know whether they should take action to improve
their own health.
gEmployers offer incentive programs for a variety of reasons, and the
decision to use consequences versus rewards depends on the individual
organization,h Aon Hewittfs Winkler said. gGenerally, employees are motivated to
action more by the fear of loss than the opportunity for gain. For that reason,
a growing number of companies are exploring and evaluating a consequence
structure as a way to drive employee participation and action.h
Aon Hewittfs data comes from a survey of nearly 800 large and mid-sized
employers with more than seven million U.S. employees. They have their benefits
provided by large and medium-sized employers and administered by health plans
that include UnitedHealth
Group (UNH), Humana
(HUM), Aetna (AET), Cigna
(CI) and Blue Cross and Blue Shield plans.
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