How Effective Wellness Programs Save The Most Money
More than 60 percent of Americans are insured through an employer-based insurance plan . However, with changing legislation and a greater onset of preventable chronic disease, this number is set to decrease. For those employers who continue to offer coverage to employees despite these factors, costs are rising significantly. Wellness and disease prevention programs have served as a viable solution to these rising costs, but simply having programs in place isn’t guaranteed to translate to savings for the employer. In order for wellness programs to work, they must engage employees, create and reinforce accountability and, most importantly, be sustainable.
A study by Harvard Medical School showed that medical costs fell $3.27 on average per dollar spent on wellness programs and absenteeism costs fell $2.73 on average per dollar spent on wellness programs . Possible tax incentives outlined in the Affordable Care Act add an extra incentive for employers to sponsor wellness programs within their companies as well. Although these numbers are impressive, it’s important to understand that these numbers are averages and typically the result of a long-term valuation period, so not every company will see such drastic savings immediately after implementing a wellness program. Other factors such as company size, geographic location and the overall state of health for the employee population can affect these numbers as well.
Regardless of factors, in order for employers to see savings that meet or exceed these averages, these wellness programs must be effective. Having a wellness program in place might translate to significant savings for some employers, but many wellness programs simply aren’t as effective as they claim. According to a study by national human resources consulting firm Sibsons, 40% of wellness programs are considered ineffective . This could be due to a reluctant employee population or an overall weak approach within these programs, but one thing is for certain – sustainability is what truly makes the difference.
At Verve Health, we use an integrative approach at the very core of our wellness programs to empower individuals to take control of their well-being, creating a sustainable culture of real health. Our integrative approach is the first of its kind in the Midwest, and uses customized, employee driven solutions to teach the foundations of real health to truly improve the health of participants in the long term. By empowering individuals to take control of their well-being, Verve helps employers reduce health care premiums and boost energy and productivity within their workforce. Where most wellness programs saturate employee populations with information and hope for participation, Verve takes a proactive approach to wellness, building a culture of engagement in individuals that motivates participants to meet their goals and encourages others to join in. We’re dedicated to altering more than behaviors – we’re changing lives.
Invest in your employees’ well-being, and the future health of your organization. Visit verve-health.com or call us at 317.573.7600 today.