H&PSolutionsContaining cost through health promotion

strategies!

Escalating Cost of Healthcare

2003 2008$0

$1,000

$2,000

$3,000

$4,000

$5,000

$6,000

$7,000

$8,000

$9,000

$10,000

$5,100

$7,272

$1,284

$2,040

EmployeeEmployer

H&PSolutions

$6,384 $9,312

Towers Perrin, 2008; Health Care Cost Survey

Studies in Support of Health Promotion

Medical Costs (MC) Absenteeism (A) MC, A, & Workers Comp (WC)

MC & WC$0

$1

$2

$3

$4

$5

$6

$7

$3.93 $5.07

$5.93 $5.81

Financial savings per $1 invested in Health Promotion

28 studies

18 studies

56 studies42 studies

H&PSolutionsAldana, S., American Journal of Health Promotion, 2001; 15(5) 296-320.Chapman, L., Art of Health Promotion, 2005; 1-16

Workplace Wellness Savings

Medical Costs Absenteeism$2.40

$2.50

$2.60

$2.70

$2.80

$2.90

$3.00

$3.10

$3.20

$3.30

$3.40

Financial savings per $1 invested in Health Promotion

H&PSolutions

$3.27

$2.73

Baicker, K., Cutler D., & Song, Z. Health Affairs. 2010; 29(2) 1-8.

Annual Cost is Based on Risk.

Outcome Measure

Low Risk(1-2 risks)

Moderate Risk (3-4 risks)

High Risk(5+ risks)

Short-Term Disability

$120 $216 $333

Worker’s Comp $228 $244 $496

Absenteeism $245 $341 $527

Medical $1,158 $1,487 $3,696

Total $1,751 $2,288 $5,052

H&PSolutionsWright, D., Beard, M., Edington, D. Journal of Occupational and Environmental Medicine, 2002; 44(12) 1126-1124.

Impact (by %) of Specific Risks on Health Care Costs

Depression Stress Glucose Weight Tobacco BP Exercise0

10

20

30

40

50

60

70

80Individuals at high risk for depression have 70.2% higher costs than those at low risk

H&PSolutionsGoetzel, R., Anderson, D., Whitmer, W. et al Journal of Occupational and Environmental Medicine, 1998; 40(10) 843-854.

Primary Reasons given (by %) for Health Promotion Implementation

Increased Employee

Moral

Improved Employee

Health

Reduced Healthcare

Costs

Reduced Ac-cidents on Job

Reduced Absen-teeism

Increased Presenteeism

0%

10%

20%

30%

40%

50%

60%

56%

41%

27%

9% 8% 8%

H&PSolutionsNational Business Group on Health, 2005

LR (52%) MR (40%) HR & HU (8%)

MD if Needed

HR & HU (8%)

Secondary & Tertiary Prevention (3%)

•Chronic Illness•Non-life Threatening

Intervention Plan•Telephone Resource Line•E-Health - Wellness•Self Care •Preventive Screenings•Network Programming

Intervention Plan•Quarterly/As Needed Coaching•E-Health - Conditions•Self-Management Mailers•Wellness Seminars•All Items Under LR

Intervention Plan•Frequent Health Coaching•E-Health – Disease•Disease Management Algorithms•Risk Reduction Intervention•All Items Under LR & MR

Symptomatic (2%)•Chronic Illness•Life Threatening

Stress Related (3%)•Chronic Utilization•Non-life Threatening

Primary and SecondaryPrevention

• Lifestyle Education• Behavioral Management

Primary and SecondaryPrevention

• Awareness• Assessment

MD if Needed MD Needed

Covered Lives

Assessment(HRA, Medical, Pharmaceutical, Workers Comp Claims)

Predictive Model

Population Health ManagementWellness Side

H&PSolutions

High Risk/High Utilization(Referred by Physicians)

Utilization Review Case/Care Management•Short Term or Ongoing

Chronic Illness/UtilizationOngoing Management•Diabetes•COPD•Asthma•CVD/HF•Cancer•Depression

Acute IllnessShort-Term Management•High Risk Pregnancy•Accidents•Surgery

Intervention Plan•Patient Education•Coordination of Care•Frequent Patient Contact•Shared Decision Making

Intervention Plan•Necessity of Care•Appropriateness of Care

Stable Patients Sent Back to

Wellness Side

Population Health ManagementDisease Side

H&PSolutions

Population Health Management

H&PSolutions

An Integrated Strategy across the Health Continuum

Wellness Management•Information•Motivation•Preventive Screenings

Risk Management•Targeted Screening•Targeted Intervention•Lifestyle Coaching

Demand Management•Self-Care information•Decision Support•Nurse Advice Line

Disease Management•Clinical Management•Compliance Support•Risk Management

Disability Management•Case Management•Decision Support•Risk Management

Low Risk•Health & Well-Being•Optimal Health

At Risk•Inactivity, Obesity, Stress, High BP, High Cholesterol

Acute Illness/Injury•Doctor Visits•ER Visits

Chronic Disease•Heart Disease, Cancer, Diabetes

Disability•Traumatic Injuries•High Risk Pregnancies

80% of employees; 20% of costs

20% of employees; 80% of costs

Low Risk High Risk