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Note: This is an authorized excerpt from <strong>Benchmarks</strong> <strong>in</strong> <strong>Health</strong> & Wellness Incentives, 2011 Edition:<br />

Data to Drive <strong>Health</strong> Promotion, Compliance and ROI. To download <strong>the</strong> entire report, go to<br />

http://store.h<strong>in</strong>.com/product.asp?itemid=4181 or call 888-446-3530.


<strong>Benchmarks</strong> <strong>in</strong> <strong>Health</strong> &<br />

Wellness Incentives,<br />

2011 Edition<br />

Data to Drive <strong>Health</strong> Promotion,<br />

Compliance and ROI<br />

presented by <strong>the</strong><br />

<strong>Health</strong>care Intelligence Network<br />

A publication <strong>of</strong>:<br />

The <strong>Health</strong>care Intelligence Network<br />

800 State Highway 71, Suite 2<br />

Sea Girt, NJ 08736<br />

Phone: (732) 449-4468<br />

Fax: (732) 449-4463<br />

http://www.h<strong>in</strong>.com<br />

© 2011, <strong>Health</strong>care Intelligence Network — http://www.h<strong>in</strong>.com


<strong>Benchmarks</strong> <strong>in</strong> <strong>Health</strong> & Wellness<br />

Incentives, 2011 Edition<br />

Data to Drive <strong>Health</strong> Promotion,<br />

Compliance and ROI<br />

This special report is based on results from <strong>the</strong> third annual <strong>Health</strong>care Intelligence<br />

Network <strong>Health</strong> and Wellness Incentives Benchmark Survey adm<strong>in</strong>istered <strong>in</strong> March<br />

2011 and <strong>in</strong>cludes expert commentary from a recent web<strong>in</strong>ar on population health<br />

management.<br />

Contribut<strong>in</strong>g Speaker<br />

Neal S<strong>of</strong>ian, MSPH, director <strong>of</strong> member engagement at Premera Blue Cross<br />

Executive Editor<br />

Melanie Mat<strong>the</strong>ws<br />

HIN <strong>executive</strong> vice president and chief operat<strong>in</strong>g <strong>of</strong>ficer<br />

Project Editors<br />

Patricia Donovan<br />

Jackie Lyons<br />

Jessica Papay<br />

Cover Design<br />

Jane Salmon<br />

© 2011, <strong>Health</strong>care Intelligence Network — http://www.h<strong>in</strong>.com Page


Table <strong>of</strong> Contents<br />

About <strong>the</strong> <strong>Health</strong>care Intelligence Network............................................................. 7<br />

Executive Summary.................................................................................................. 7<br />

Survey Highlights .....................................................................................................8<br />

Key F<strong>in</strong>d<strong>in</strong>gs............................................................................................................. 8<br />

Comparison <strong>of</strong> 2010 Data to 2011 Data....................................................................10<br />

Comparison <strong>of</strong> Top 3 Sector Responses ..................................................................10<br />

Methodology.......................................................................................................... 12<br />

Analysis <strong>of</strong> Responses............................................................................................. 12<br />

Overview <strong>of</strong> Survey Results ................................................................................... 12<br />

Respondent Demographics .................................................................................... 13<br />

Program Challenges and Barriers .......................................................................... 13<br />

The Employer Perspective ..................................................................................... 14<br />

The Consultant Perspective ................................................................................... 16<br />

The <strong>Health</strong> Plan Perspective .................................................................................. 16<br />

Respondents <strong>in</strong> Their Own Words...........................................................................18<br />

Conclusion.............................................................................................................. 21<br />

Responses to Questions..........................................................................................23<br />

Part I: Overall Survey Responses............................................................................ 23<br />

1:01: Offer<strong>in</strong>g Incentives Program................................................................... 23<br />

1:02: Incentivized <strong>Health</strong> Improvement Programs..........................................24<br />

1:03: Economic Incentives Offered.................................................................24<br />

1:04: Benefit-Based Incentives........................................................................ 25<br />

1:05: Top Three Incentives (Overall Rank<strong>in</strong>g).................................................. 25<br />

1:06: Most Effective Incentives.......................................................................26<br />

1:07: Ways Incentives Are Used......................................................................26<br />

1:08: Penalties for <strong>Health</strong> Risks....................................................................... 27<br />

1:09: Program Promotion Methods................................................................ 27<br />

1:10: Participant Identification Methods.........................................................28<br />

1:11: Program Eligibility....................................................................................28<br />

1:12: Future Programs......................................................................................29<br />

1:13: Program Success Measurement .............................................................29<br />

1:14: Most Positive Response..........................................................................30<br />

1:15: Program Impact.......................................................................................30<br />

1:16: Program ROI............................................................................................ 31<br />

1:17: Organization Type.................................................................................... 31<br />

Part II: Responses from Employers......................................................................... 32<br />

1:18: Employers - Offer<strong>in</strong>g Incentives Program................................................ 32<br />

1:19: Employers - Incentivized <strong>Health</strong> Improvement Programs ......................33<br />

1:20: Employers - Economic Incentives........................................................... 33<br />

© 2011, <strong>Health</strong>care Intelligence Network — http://www.h<strong>in</strong>.com Page


1:21: Employers - Benefit-Based Incentives.....................................................34<br />

1:22: Employers - Top Three Incentives (Overall Rank<strong>in</strong>g)..............................34<br />

1:23: Employers - Most Effective Incentives.................................................... 35<br />

1:24: Employers - Ways Incentives Are Used.................................................. 35<br />

1:25: Employers - Penalties for <strong>Health</strong> Risks................................................... 35<br />

1:26: Employers - Program Promotion Methods.............................................36<br />

1:27: Employers - Participant Identification Methods.....................................36<br />

1:28: Employers - Program Eligibility............................................................... 37<br />

1:29: Employers - Future Programs................................................................. 37<br />

1:30: Employers - Program Success Measurement ........................................38<br />

1:31: Employers - Most Positive Response......................................................38<br />

1:32: Employers - Program Impact.................................................................39<br />

1:33: Employers - Program ROI........................................................................39<br />

Part III: Responses from Consultants.....................................................................39<br />

1:34: Consultants - Offer<strong>in</strong>g Incentives Program........................................... 40<br />

1:35: Consultants - Incentivized <strong>Health</strong> Improvement Programs................... 40<br />

1:36: Consultants - Economic Incentives........................................................ 40<br />

1:37: Consultants - Benefit-Based Incentives.................................................. 41<br />

1:38: Consultants - Top Three Incentives (Overall Rank<strong>in</strong>g)........................... 41<br />

1:39: Consultants - Most Effective Incentives.................................................42<br />

1:40: Consultants - Ways Incentives Are Used................................................43<br />

1:41: Consultants - Penalties for <strong>Health</strong> Risks.................................................43<br />

1:42: Consultants - Program Promotion Methods..........................................44<br />

1:43: Consultants - Participant Identification Methods..................................44<br />

1:44: Consultants - Program Eligibility............................................................45<br />

1:45: Consultants - Future Programs...............................................................45<br />

1:46: Consultants - Program Success Measurement ......................................46<br />

1:47: Consultants - Most Positive Response....................................................46<br />

1:48: Consultants - Program Impact............................................................... 47<br />

1:49: Consultants - Program ROI..................................................................... 47<br />

Part IV: Responses from <strong>Health</strong> Plans....................................................................48<br />

1:50: <strong>Health</strong> Plans - Offer<strong>in</strong>g Incentives Program...........................................48<br />

1:51: <strong>Health</strong> Plans - Incentivized <strong>Health</strong> Improvement Programs...................48<br />

1:52: <strong>Health</strong> Plans - Economic Incentives........................................................49<br />

1:53: <strong>Health</strong> Plans - Benefit-Based Incentives.................................................49<br />

1:54: <strong>Health</strong> Plans - Top Three Incentives (Overall Rank<strong>in</strong>g)..........................50<br />

1:55: <strong>Health</strong> Plans - Most Effective Incentives................................................50<br />

1:56: <strong>Health</strong> Plans - Ways Incentives Are Used................................................51<br />

1:57: <strong>Health</strong> Plans - Penalties for <strong>Health</strong> Risks.................................................51<br />

1:58: <strong>Health</strong> Plans - Program Promotion Methods......................................... 52<br />

1:59: <strong>Health</strong> Plans - Participant Identification Methods................................. 52<br />

© 2011, <strong>Health</strong>care Intelligence Network — http://www.h<strong>in</strong>.com Page


1:60: <strong>Health</strong> Plans - Program Eligibility........................................................... 53<br />

1:61: <strong>Health</strong> Plans - Future Programs.............................................................. 53<br />

1:62: <strong>Health</strong> Plans - Program Success Measurement .....................................54<br />

1:63: <strong>Health</strong> Plans - Most Positive Response..................................................54<br />

1:64: <strong>Health</strong> Plans - Program Impact............................................................. 55<br />

1:65: <strong>Health</strong> Plans - Program ROI.................................................................... 55<br />

Glossary................................................................................................................. 56<br />

Appendix A: <strong>Health</strong> & Wellness Incentives Benchmark Survey Tool........................57<br />

About <strong>the</strong> Speaker................................................................................................. 59<br />

© 2011, <strong>Health</strong>care Intelligence Network — http://www.h<strong>in</strong>.com Page


About <strong>the</strong> <strong>Health</strong>care Intelligence Network<br />

The <strong>Health</strong>care Intelligence Network (HIN) is an electronic publish<strong>in</strong>g company provid<strong>in</strong>g<br />

high-quality <strong>in</strong>formation on <strong>the</strong> bus<strong>in</strong>ess <strong>of</strong> healthcare. In one place, healthcare<br />

<strong>executive</strong>s can receive exclusive, customized up-to-<strong>the</strong>-m<strong>in</strong>ute <strong>in</strong>formation <strong>in</strong> five<br />

key areas: <strong>the</strong> healthcare and managed care <strong>in</strong>dustry, hospital and health system<br />

management, health law and regulation, behavioral healthcare and long-term care.<br />

Executive Summary<br />

<strong>Health</strong>care companies have grown <strong>in</strong>creas<strong>in</strong>gly creative <strong>in</strong> <strong>the</strong>ir use <strong>of</strong> economic and<br />

benefits-based <strong>in</strong>centives to drive engagement and participation <strong>in</strong> health and wellness<br />

programs.<br />

Benefit-based<br />

<strong>in</strong>centives are<br />

considered<br />

to be most<br />

effective at<br />

generat<strong>in</strong>g<br />

<strong>the</strong> highest<br />

participation/<br />

engagement<br />

levels.<br />

In its third annual <strong>Health</strong> and Wellness Incentives Use e-survey adm<strong>in</strong>istered <strong>in</strong> March<br />

2011, <strong>the</strong> <strong>Health</strong>care Intelligence Network cont<strong>in</strong>ued to capture <strong>the</strong> expand<strong>in</strong>g focus,<br />

utilization and impact <strong>of</strong> health and wellness <strong>in</strong>centives <strong>in</strong> <strong>the</strong> healthcare <strong>in</strong>dustry, from<br />

types <strong>of</strong> <strong>in</strong>centives <strong>of</strong>fered to methods for identify<strong>in</strong>g <strong>in</strong>dividuals for <strong>in</strong>centive programs<br />

and reasons for provid<strong>in</strong>g <strong>in</strong>centives. Through responses provided by 156 healthcare<br />

organizations to 27 multiple choice and open-ended questions, <strong>the</strong> survey results reveal<br />

<strong>the</strong> grow<strong>in</strong>g <strong>in</strong>terest <strong>in</strong> <strong>of</strong>fer<strong>in</strong>g <strong>in</strong>centives for participation <strong>in</strong> health improvement<br />

programs and <strong>the</strong> cont<strong>in</strong>ued popularity <strong>of</strong> <strong>in</strong>centives for HRA completion.<br />

© 2011, <strong>Health</strong>care Intelligence Network — http://www.h<strong>in</strong>.com Page


Do you plan to <strong>of</strong>fer <strong>in</strong>centives and rewards for health program participation <strong>in</strong> <strong>the</strong> next 12 months?<br />

1:12: Future Programs<br />

Source: HIN Incentives Survey<br />

March, 2011<br />

©2011<br />

Which data is reviewed to measure <strong>the</strong> success <strong>of</strong> your <strong>in</strong>centive programs?<br />

1:13: Program Success Measurement<br />

Source: HIN Incentives Survey<br />

March, 2011<br />

©2011<br />

© 2011, <strong>Health</strong>care Intelligence Network — http://www.h<strong>in</strong>.com Page 30


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A follow-up to <strong>the</strong> best-sell<strong>in</strong>g 2009 and 2010 editions,<br />

<strong>Benchmarks</strong> <strong>in</strong> <strong>Health</strong> & Wellness Incentives, 2011<br />

Edition is packed with actionable new data on current and<br />

planned <strong>in</strong>centives activity, presented <strong>in</strong> more than 65 easyto-follow<br />

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from an analysis <strong>of</strong> responses to HIN’s third annual survey<br />

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A comparison <strong>of</strong> responses to key questions from<br />

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consultants and health plans;<br />

Metrics on <strong>in</strong>centives for key health improvement<br />

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The most successful health <strong>in</strong>centive strategies<br />

employed by respondents, as described <strong>in</strong> <strong>the</strong>ir own<br />

words;<br />

The top program communication methods; and<br />

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Yes, I need to learn more about reward<strong>in</strong>g long-term<br />

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