Corporate Wellness and Effective Healthcare Reform.

It’s clear to virtually every American (particularly those of us in business) that health care costs are skyrocketing out of control.

No one doubts that either the market will solve the problem OR the government will impose one on us. Managed care has failed from either a cost containment or quality of care perspective.

Companies have reached the point where the cost of providing health insurance is almost as burdensome as government regulation. It’s time for some new thinking on healthcare and its impact on company and vice versa.

Corporate wellness as an operational perspective instead of merely window dressing is one way to deal effectively with rising healthcare costs.

The Insurance Problem

The first step in correcting the problem is to realize that an employee’s health is their own responsibility. Expecting employers to provide unlimited medical insurance coverage is simply unrealistic and unreasonable.

It’s time for employers (on a wide scale) to reconsider their role in providing health insurance coverage. Instead of providing complete coverage for all workers through group plans, businesses should begin to shift the burden of health coverage to those covered.

Here’s the approach. Give catastrophic medical insurance as a group benefit to all workers with a big enough deductible (say $5000 per employee) to make the cost low cost for the company.

Then, allow employees to buy their own health insurance policies (based on their own needs) and pay for them through payroll deduction with pre-tax earnings.

There are numerous insurance companies that sell individual plans on this basis. Everybody wins. Staff Members can tailor their coverage to their own needs and circumstances using their own doctors. Companies win by stopping the endless cycle of rising costs and ever-changing plans.

And when individuals become responsible for the cost of their own insurance, they become more attentive to their own health.

Besides, when an staff member is interested in working for you ONLY because your business offers great insurance benefits aren’t they telling you they are going to cost you more money in the future?

Develop a “Wellness Culture”

Our current “sickness culture” perpetuates the healthcare crisis and hastens the demise of market-based solutions. By illness culture, I mean our focus on medical problems in lieu of on having a healthy workplace and performance culture.

So, what would a “wellness culture” look like? First, instead of paid sick days, staff members may  be rewarded at year’s end with an attendance bonus.

Employees would be reimbursed for successful completion of use of tobacco cessation and weight-loss programs. Businesses would invest in corporate memberships at local fitness centers so every worker can participate.

Employees would be offered in-house wellness programs on a variety of issues ranging from ergonomics to stress management. In conclusion, corporations would commit to hiring and retaining healthy employees.

Simply put, healthful staff members cost less and are more productive than unhealthful ones. Applicants must be screened for health habits and practices that limit their productivity and increase the likelihood of future expense.

While this may seem harsh, it rewards those workers whose personal lifestyle and habits ensure the best Return on Investment by the company committing to hire, train and pay them.

Be open to “alternative and complementary” approaches

Studies published in major medical journals reveal that individuals who use “alternative and complementary” health modalities (including chiropractic, acupuncture, yoga and massage) are typically healthier, better educated, take fewer medications and miss fewer days from work than the typical American.

Since these individuals look for ways to stay healthful without drugs and surgery, they end up being a net benefit for attendance and productivity. Old prejudices in this area must be discarded in order for corporations to improve productivity and increase profitability

Conclusion

Healthcare costs are increasing at a staggering pace. Managed care is an terrible failure. Businesses are buckling underneath the pressure of providing health coverage to their employees.

American competitiveness in the market is sagging. These times call for incredible solutions. It’s time for American corporations to consider some out-of-the-box solutions to the health care crisis.

Corporate wellness is an approach that is timely, achievable and reasonable given the alternatives. All options should be considered while we still have a chance.