Health improvement case study

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CASE STUDY A Total Workplace Wellness Program Client Profile Industry: Municipality Number of Employees: 370+ THE CHALLENGE In 2006, the City made a significant investment in a wellness program as an effort to reduce medical and prescription claims and costs, improve employee health and reduce absenteeism. After launch, the program was limited by several challenges including: A lack of clear program outcomes and incentive opportunities for all participants Insufficient reporting – key health measurables were obtained, but were missing trend aggregate data necessary to monitor progress A minimal program focus on the low to medium risk employee population A missing correlation between wellness activities and health care costs THE SOLUTION When Marsh & McLennan Agency (MMA) was hired by the City in 2008, a wellness advisory team was formed to review the strengths and weaknesses of the City’s current program and recommend strategies for improvement. The advisory team included representatives from the City HR department, the current wellness vendor and MMA’s Chief Medical Officer and Wellness Director. The team’s program analysis identified the need for a proactive and comprehensive approach to provide all employees with a variety of opportunities to improve their health. According to a recent Mercer Employer Survey*, employers are banking on health management strategies to control costs in the long-term. As a result, employers have taken steps to: Promote engagement as well as participation Create a supportive work environment Measure results *2013 Mercer National Survey of Employer Sponsored Health Plans

Transcript of Health improvement case study

Page 1: Health improvement case study

CASE STUDYA Total Workplace Wellness Program Client Profile

Industry: Municipality Number of Employees: 370+

THE CHALLENGE

In 2006, the City made a significant investment in a wellness program as an effort

to reduce medical and prescription claims and costs, improve employee health and

reduce absenteeism.

After launch, the program was limited by several challenges including:

• A lack of clear program outcomes and incentive opportunities for all participants

• Insufficient reporting – key health measurables were obtained, but were missing

trend aggregate data necessary to monitor progress

• A minimal program focus on the low to medium risk employee population

• A missing correlation between wellness activities and health care costs

THE SOLUTION

When Marsh & McLennan Agency (MMA) was hired by the City in 2008, a wellness

advisory team was formed to review the strengths and weaknesses of the City’s

current program and recommend strategies for improvement. The advisory team

included representatives from the City HR department, the current wellness vendor

and MMA’s Chief Medical Officer and Wellness Director. The team’s program

analysis identified the need for a proactive and comprehensive approach to provide

all employees with a variety of opportunities to improve their health.

According to a recent Mercer

Employer Survey*, employers are

banking on health management

strategies to control costs in the

long-term. As a result, employers

have taken steps to:

• Promote engagement as well

as participation

• Create a supportive work

environment

• Measure results

*2013 Mercer National Survey of Employer Sponsored Health Plans

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THE SOLUTION ACTION STEPS

The team focused on the following actions:

• Increased emphasis on low to medium risk employee population

• Incorporation of employee spouses to foster wellness at work and at home

• Development of a multi-year outcome based incentive program for employees and spouses

– All participants can earn a significant reduction in their monthly health plan premium contribution

• The availability of additional wellness tools for all employees including onsite health screenings, a personal

and group health scorecard, access to online wellness resources, and access to an onsite health coach

• Development of fun wellness activities such as challenges, lunch and learns and walking groups

• Quarterly meetings to keep continued collaboration among the City, their wellness consultant and the MMA

wellness advisors

THE RESULT

The implementation of an increased focus on low to medium risk employees, as well as a continued focus on

the high risk population, has led to a 17% positive change in the overall health of the City’s employees and

their spouses. The development of the personal health scorecard and incentive program has empowered

and motivated participants to improve their health. In addition, the aggregate health scorecard has given the

City a solution for accurately tracking the health risk trends of its employees. After reviewing the risk status of

the employees between 2011 and 2013, the City observed that 24% of the employees improved their health

measures, 69% stayed the same and 7% of the employees’ health measures worsened. The graph below

illustrates the movement between the identified Moderate, At Risk and Target groups.

The City experienced positive

results in employee risk status

between 2011 and 2013; 24%

of the employees improved,

69% stayed the same and 7%

worsened.

127

57

23

17

5325

8

194176

5

62

Target Group Moderate Group At Risk Group

2011 20112013 2011 20132013

Target Group (score above 80)

At Risk Group (less than 50)

Moderate Group (score 60 - 70)

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THE RESULT (CONT.)

As outlined in the chart below, the shift to a more comprehensive wellness strategy resulted in continuous decreases in

total hospital admissions, inpatient days, admissions paid and doctors office visits. Furthermore, there has been a steady

increase in preventative office visits.

METRIC/COST/RISK 2011 2012 2013 % DIFFERENCE ADJUSTED NORM

Total Admissions/1000 76.7 69.2 68.1 -1.6 66.9

Inpatient Days/1000 31/2 304.2 206.6 - 32.1 31.3

Total Admission Paid $13,134 $11,007 $10,518 - 4.4 $16,121

Total Office Visits/1000 4,789 4,601 4,527 -1.6 3,968

Preventive Office/1000 446 474 499 + 5.2 412

Average Risk Index 11.04 10.88 9.97 - 8.3 6.71

Average Care Gap Index 2.60 2.42 2.03 - 15.9 1.29

Over the past few years the City has even been recognized for its wellness program, receiving Healthiest Employer awards

in 2010 and 2013. The multi-year strategy has provided the City and its employees with long-range focus and an ongoing

commitment to maintaining and improving personal health.

WHY MMA?

MMA is a recognized leader in population health management, providing comprehensive programs that improve health

and lower costs. MMA implements complete programs including oversight and measurement that:

• IMPROVE your employee’s health

• INCREASE productivity and employee morale

• DECREASE absenteeism

• DEMONSTRATE results driven outcomes

To learn more about MMA’s health improvement solutions and services, please reach out to your local MMA

representative.

Copyright © 2014 Marsh & McLennan Agency LLC. All rights reserved.