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BizVoice
/Indiana Chamber –
March/April 2012
M
any companies consider starting a wellness program
after they receive the latest premium increase from
their insurance or reinsurance carrier. Health
insurance is a large budget item and the cost
continues to rise. Wellness programs attempt to reduce health
risks caused by the lifestyles of employees and their dependents,
ultimately reducing health care costs.
Wellness programs are most often tied to a company’s
health insurance and, consequently, your health insurance
agent or consultant is a great resource for answering questions
and providing assistance with wellness programs.
Here’s what we know. Effective wellness programs should
be tailored to employees’ individual needs, linked to business
objectives and supported by top level management. How should
a business begin? And how should it address individual needs
without making employees feel that they are discriminated
against or punished for unhealthy lifestyles?
These are some of the questions companies can ask their
insurance agents:
How do I start a wellness program?
An agent is a valuable resource in finding, implementing
and communicating about a wellness program. An agent can
make it easy with a step-by-step program that has a logical
progression – including assessment, education, tracking, and
individual and summary results as main components. A
wellness committee comprised of company representatives
from different departments and various positions, along with
your agent or broker, can develop this program.
The committee can assess the organization’s internal
policies, review workplace culture (such as vending machine
products and tobacco policy) and survey employees regarding
needs. It can then start with health assessments and screenings.
What are the costs involved? What rewards would make
the program effective and affordable?
Wellness programs do not have to be expensive. There are
many community resources that are available at minimal cost.
Your agent can help you maximize benefits that are covered
under your health plan as well. Health fair screenings are
inexpensive and online wellness support programs – health
risk assessments, activity tracking tools, management tools and
summary reports – are reasonable.
Your agent can help you manage insurance rate increases
through the use of a wellness program. For example, if you
receive a 20% rate increase for health insurance, you can tie
the increase to your wellness program. If an employee chooses
to participate, they get the old, lower rate. If they don’t
participate, they pay 20% more for their health insurance.
Another example is an employer currently contributing $500
annually to Health Savings Accounts for employees. Instead of just
providing the contribution, have the
contribution contingent upon
participating in the wellness plan:
$250 if they take part in health risk
assessments and screenings, $250 if
they complete certain wellness
activities, etc. Rewards do not have to cost the company
additional money.
What are the compliance issues?
Your agent can help you implement a compliant wellness
program, one that adheres to all of the regulatory requirements
of HIPAA, ERISA, GINA, etc. If rewards are conditioned upon
meeting certain health standards, you must include a statement
of the availability of a reasonable alternative standard in all
plan materials describing the program.
When should I implement a wellness program?
Open enrollment is a great time to introduce a wellness program.
If your open enrollment was recently completed, think spring.
How do I communicate the program to maximize participation?
Your agent can assist in communicating that the program
is designed to help employees stay or become healthy or reduce
health risks. He or she can make clear that the information is
confidential and that the employer does not receive personal
reports on employees.
Communication is the key to an effective wellness program.
Your agent can discuss the benefits of the wellness program
and assure employees that their privacy is protected.
How do I evaluate the program’s effectiveness?
Your agent is a valuable tool in evaluating your progress
and participation rate and determining the next steps for your
wellness program. With the help of a wellness team, an agent
will review your summary information to determine overall health
risks and educational opportunities (lunch ’n learns, online
health classes, etc.) that would be good for your employees.
Although we all need to take personal responsibility for
our health, workplace wellness can provide the education,
tools and support needed to help employees and their families
lead healthier, more productive lives. Contact your agent,
attend educational seminars or participate in a Wellness
Council of Indiana certification class on workplace wellness.
Agent Assistance
Insurance Rep Can Help With Your Program
By Linda Passmore
Workplace wellness
I N F O R M A T I O N L I N K
Author:
Linda Passmore FLMI, ALHC is president of
Complete Wellness Solutions Inc. and All Insurance
Solutions Inc. She can be contacted at (260) 434-1168,
www.completewellnesssolutions.com or
www.allinsurancesolutions.com
Linda Passmore