Employers Continue to Increase Wellness Program Efforts
The latest employer survey conducted by Fidelity Investments and the National Business Group on Health (NBGH) found that almost three out of four (73%) companies used incentives in 2011 to engage employees in health-improvement programs and the average incentive value was $460. That figure has steadily increased from an average of $430 in 2010 (see “Employers Increasing Use of Incentives for Wellness Programs“) and $260 in 2009.
Employers used different types of incentives including cash, gift cards and contributions to health savings accounts. The majority (57%) agreed that incentive-based programs had a better than expected success rate at increasing employee participation.
The survey found that a small, but growing number of companies are requiring employees to participate in health-improvement programs in order to be eligible for medical benefits. Last year, 5% of companies required their workers to complete biometric testing (e.g. cholesterol screening) or be excluded from coverage. That number is expected to nearly double in 2012 to 9%. Likewise, 7% of companies required completion of a health-risk assessment last year. This year, 10% of companies will require it.
Incentives aside, the average employer spent $169 per employee on health-improvement programs in 2011, comparable to $154 in 2010 and up from $108 in 2009.While smoking cessation and Employee Assistance Programs (EAP) are the most prevalent lifestyle-management offerings in the workplace, healthy cafeteria food options are expected to be introduced by 16% of employers this year. Currently, 51% of companies offer such choices.
Among health-risk management programs, 11% of companies are planning to introduce healthcare advocates (who help employees find medical specialists and navigate the healthcare system). Currently, 46% of companies have advocates. Condition-management programs are expected to remain unchanged from 2011, with companies investing the most in managing conditions related to diabetes and asthma.
The majority (76%) of companies responding to the Fidelity/NBGH survey reported they do not know the return on their investment in health-improvement programs.
Data for the survey was collected online between November 1 and December 30, 2011, by the National Business Group on Health in conjunction with Fidelity and is based on responses from a national sample of 139 companies from numerous industries including transportation, healthcare, technology, entertainment, consumer products, retail and energy.