Case Study: Construction Equipment Manufacturer Uses Participation To Build a Solid Shelter Against Rising Health Costs

Rising health care costs have forced companies across America to make tough choices. One such business, a company with over 100 years in manufacturing underground construction equipment, prided itself on having a well-developed corporate culture that included a program that paid 100 percent of employees’ health care costs. Although the health plan was a powerful incentive to employees, increasing costs had the company wondering how much longer it could maintain the program.

Determined not to shift the rising costs to their employees, the manufacturer partnered with Viverae to create a health management and wellness plan that would help foster a healthier workforce.

Strong Leadership, Employee Participation Power the Program

The company found that it didn’t have to abandon its practice of paying 100 percent of the employees’ insurance. Working with Viverae’s Account Management team, it created a program that called on employees to participate in order to qualify for the generous benefit offering. Each employee was asked to complete required activities (Biometric Screening, MHA) as well as four additional health management programs. If the employee failed to meet their goals, then the employee paid 10 percent of the insurance cost.

Achieving Results

The program launched at the end of 2008, and participation was an incredible 93 percent the first year, growing to 95 percent in year two. The company utilized Viverae’s proprietary web-based platform, the Viverae Health Management System (VHMS) to track each participant, award incentives and report on the impact of the wellness program. The company’s investment paid off with double-digit improvements in almost every category measured, including:

  • Employees with 5+ risk factors: In the category with the greatest number of risk factors and the potential for the highest medical costs, the number of employees decreased by almost 8 percent.
  • Employees with 0-2 risk factors: The group with the lowest risk and the potential for the lowest medical costs grew by 12 percent.
  • Employees at greatest risk of heart disease/heart attack: This population saw a 15 percent drop and was supported by additional improvements, including:
    • 11 percent increase in the number of employees who improved their nutrition
    • 7 percent increase in employees who engaged in physical activity
    • 7 percent decrease in workers whose blood pressure levels indicate that they are at high risk

Overall Program Success: The average number of risk factors within the employee population dropped an impressive 18 percent.

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