Employer Wellness Programs to keep Employee’s Fit

I like to fancy myself an HR professional who is a fitness aficionado.  I have a real passion for how employers use wellness programs to contain costs on benefits.  There was an interesting article last month in The Atlantic by Celine Gounder, The Future of Getting Paid to be Healthy.

She examines how a few employers are using wellness programs to drive how much the employee pays for medical benefits.  She writes the following:

King County, Washington, was one of the first local governments to use rewards and penalties to encourage healthier behaviors. A decade ago, the county panicked as health care costs were growing at a pace of 15 percent every year. Then-executive Ron Sims convened a task force that included physicians, health care policy and legal experts, economists and labor and business leaders to develop a strategy to address health care costs from the perspective of both patients and the employers paying for their coverage. 

Sims told the Seattle Times at the time, "I refuse to sit back and allow the county and its employees to be victims of these seemingly uncontrollable cost increases. Further, I refuse to accept there are only two choices: reducing benefits to our employees and their families, or paying crippling annual increases. Tweaking the edges of the problem will no longer work." 

Out of the task force's recommendations was borne Healthy Incentives -- a voluntary wellness program for its employees and their families. While everyone receives the same medical benefits coverage, their out-of-pocket costs (deductibles and co-pays) vary according to their level of participation in the Healthy Incentives program. Those who choose not to participate receive a Bronze status, with the highest out-of-pocket costs. To attain a Gold status, with the lowest out-of-pocket costs, you need to complete a health risk assessment and complete a personal wellness plan. The individual action plans might include texting in a log of healthy activities, joining Weight Watchers at Work, attending YMCA classes to learn how to prevent diabetes through nutrition and exercise, or working with a Quit for Life coach on the phone to quit smoking. The difference between the Bronze and Gold tiers can make a difference of as much as $2,400 per year for a family of four.

When she started working for King County three years ago, Lynn Argento was automatically enrolled in the Gold tier after completing her health risk assessment. Failing to complete her personal wellness plan, Argento got bumped down to the Silver level the following year. "It was an eye opener in terms of the differences that I was paying for my deductible and co-pays," she said. "It was a big reminder that my wellness activities had a significant financial connection to what I was paying out-of-pocket." But Argento wasn't upset with King County. She was disappointed in herself. "It was pretty clearly laid out to me. I knew what I needed to do, and I didn't follow through on it," she said. 

Argento resolved to earn back her status. She runs on a treadmill during her lunch breaks at a worksite activity center, where employees can also attend yoga, tai chi, Zumba and kickboxing classes. Argento's husband is now also on her plan, which means that he too has to participate in wellness activities to earn Gold status. Argento has noticed not only the financial but also health benefits of her wellness activities. "I have a lot more stamina," she said. "I often have to sprint for a bus because I'm running late, and now I can do that without wanting to pass out when I get to the bus." 

I think this is a positive idea.  You reward folks who choose to participate in preventive medicine.  As stated by one of the participants this had an effect on her total well-being not just at work.  Does your employer have this type of incentive?  If so do you participant?  Would you participate if your employer offered this type of program?