Wellness Programs Reduce Medical Costs

Savings generated from wellness programs based on a meta-analysis of multiple workplace wellness programs

BY  of BenefitsPro highlights a recent study by Zoe Consulting Inc. on behalf of Interactive Health Solutions Inc., a provider of performance-based health management solutions for employers.  The analysis is based on multiple years of medical claim data from two comparable population groups.

The reason this issue is so significant, according to Joseph O’Brien, president and CEO of Interactive Health Solutions, is that health care spending has grown to over 25% of total labor expense. However, the study finds that employers using wellness programs experience a significant average medical cost trend reduction that includes:

  •  6.1% average annual medical cost trend reduction.
  • 13.5% average annual medical cost trend reduction among members with core conditions, including:
    • asthma, coronary heart disease, chronic obstructive lung disease, diabetes and hypertension.
  • Many health effects from core conditions can be managed through early detection and compliance with prescribed therapies.
  • 7.7% reduction in per member per month for the survey’s final year.
  • 85% of members maintain or lessen their health risk levels.
  • Fewer days off due to workers’ compensation and short-term disability claims.
  • 9 day earlier returns to work under workers’ compensation
  • 17 days earlier returns to work for short-term disability.