How To Handle Escalating  Employee Health Benefit Costs

Posted by Jane Wang on December 13, 2016

Employee benefits in the workplace are becoming increasingly costly for employers in North America. In the US, according to the 2015 Kaiser and HRET surveyThe average premium for single coverage is $521 per month, or $6,251 per year. The average premium for family coverage is $1,462 per month or $17,545 per year. Based on the Conference Board of Canada’s latest benefits benchmarking report, the average cost of providing employee benefits is $8,330 per full-time employee. For the average company, this equates to spending approximately 10% of gross annual payroll. Businesses are experiencing the reality of the aging workforce, and burden on their profitability from the continuously rising health premiums, cases of stress leave as well as increased absenteeism from their employee population. Year after year, CFOs continue to see increased business costs as the result of poor employee health and habits, but some are reluctant to revisit the funding and strategy of current health and wellness programs because most wellness programs cannot report ROI.

 

This is changing.  More data-driven and evidence-based wellness programs like Optimity are able to provide sound financial analysis for the reasons driving these changes in business costs, as a direct results of strategic wellness programs. A strong business case can now be made to invest in proactive health programs. The ROI can be realized quickly and certainly for these cost-effective, digital-first programs that support the employees in making smarter choices everyday, because it always leads to better health outcomes. Innovative and employee-centric businesses who are changing their processes and opting into data-driven and evidence-based wellness programs, are benefiting both from a happy shift in culture (which helps their HR department recruit and retain talent easier), and are saving up to $6.50 for every $1 spent on wellness by implementing a sound cost-containment strategy that flattens the year over year cost increases of their employee benefits costs. 

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Topics: roi

Holistic Wellness Apps and Behavioral Change

Posted by Jane Wang on December 6, 2016

We all know that mobile applications (apps) have the potential to help people increase their physical activity, but little is known about the behavior change techniques marketed in these apps. 

The majority of apps available today incorporate fewer than four behavior change techniques...

 

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Topics: Wellness trends, Habit, Corporate Wellness, partnerships