Reduce the cost of health care? Stay healthy!(HEALTH & MEDICINE)

• Author: O'Connell, Dianne

Employers can slow the rising costs of providing health care for employees and their families through providing incentives for people to stay healthy. Private insurance companies, such as Premera Blue Cross Blue Shield of Alaska, are expanding such wellness initiatives in response to growing pressure arising from the nation's new health care reform legislation and because studies show that health and wellness programs do substantially reduce medical costs. With these points in mind, two of Alaska's largest employers, Providence Health and Services Alaska and the University of Alaska, have chosen to develop their employee wellness programs a step or two further.

PROVIDENCE EMPLOYEES CHOOSE HEALTH

Providence Health and Services Alaska launched its "I Choose Health" initiative in October 2009, according to Tamara Green, regional director, health management services, Providence Health, speaking of a new outcome-based incentive program Providence is integrating with its employee health insurance plan.

Demographic studies show health care workers are actually less fit and less healthy than comparable groups within the general population. They often need a little extra nudge to work on their own physical well-being, in addition to caring for others.

"Just like the airlines tell you, you've got to 'put on your own oxygen mask first' before you can effectively help anyone else," Green says.

During the "I Choose Health" project's first year, employees were offered credit incentives against the cost of their 2010 health care premium for filling out a Stay Well Health Assessment (HA) and for voluntarily participating in biometric screenings for measuring blood pressure, cholesterol, body mass index and tobacco use. The credit was given for participation, not for what the employee values were.

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The program is part of Providence's effort to contain the costs of providing health care for its 4,000-plus employees and to promote wellness among employees and their families. Fifty-four percent of those covered by Providence's health care plan chose to participate and receive the credit.

Providence Health and Services is the state's largest private employer. As a self-insured company, Providence believes it is able to exercise more impact on the costs of employee health care than an employer who purchases employee insurance through a third party. Providence does use a third-party administrator, but the administrator is the Providence...