When it comes to cost-cutting strategies surrounding company health plans, some organizations are taking things up a notch — and some may say they’re going too far.
Here are three of the more radical strategies your peers say they’ll adopt this year to cut health insurance costs, according to a new study released by the National Business Group on Health and Towers Watson. They may not be popular, but they’ll save you money.
1. Charge more to cover employee spouses
In an attempt to get more spouses to use their own employers’ plans, some companies say they’ll increase what it’ll cost to cover employee spouses.
A more moderate strategy: Conduct an eligibility audit. After doing so, most companies find they have folks on their plans who shouldn’t be. Removing those who are no longer eligible will likely bring costs down — maybe even to the point where the spouse coverage increase isn’t necessary.
2. Offer rewards for improving the results of specific health-risk tests
Many companies are also going to a results-based incentive system — where employees who lower their cholesterol, blood pressure, BMI, etc. are rewarded.
And those that fail to improve their lab test results end up not being eligible for any rewards.
A more moderate strategy: Provide employees with educational materials on how they can improve specific test results. Or bring in a health coach to work with at-risk employees one-on-one.
3. Kick unhealthy employees out of the better plans
One way to convince workers to lower their cholesterol, quit smoking, etc.: Tell them if they don’t they’ll be moved to a health plan that isn’t as desirable (say from a PPO into an HMO).
A more moderate strategy: Let everyone use the more desirable plan, but make sure smokers, for example, can’t qualify for any of your plan’s incentives/rewards until they kick the habit.
Would you consider taking any of these steps to lower your company’s health insurance bill? Let us know in the Comments Box below.
