Controlling Health-Care Costs

CU360
July 27, 2009 | COMMENTS

The recession is taking a toll on some American workers' health. Consequently, it's driving many workers to make behavioral changes to improve their health and well-being and better control their health-care costs, according to a new survey from the National Business Group on Health (NBGH), Washington, D.C.

NBGH commissioned the survey to ascertain how the recession is affecting American workers and to provide a snapshot about these areas so businesses can work more closely with employees to support them during a very challenging environment. Workers in the survey were between the ages of 22 and 69, and received benefits through an employer-sponsored or union-sponsored health plan. Among the key findings:

• The economic downturn is taking a toll on employees' physical and mental health. More than one of four respondents (27%) report forgoing health-care treatment to save co-payment or coinsurance costs. One of five respondents skipped taking their prescription drug medication dosage as prescribed by their doctors. Many workers, particularly older workers (44% of those age 45 to 64), report the economy has negatively affected their mental health.
• Employees are more sensitive to the cost of health care. Not surprising, most workers are more attuned to the cost of health care, with 72% saying they've become more aware of the total cost of health-care services in the past year, and 56% are more aware of what they pay for health insurance. Nearly all workers reviewed their health plan options during their last annual enrollment period, with about one of four changing health plans as a result.
• Health improvement is more of a priority than it was a year ago. In perhaps a nod to controlling their own health-care costs, 52% of survey respondents report that living a healthy lifestyle is more of a priority than it was a year ago. One of three are exercising more, 46% are eating more healthfully, and 44% eat out less often at fast-food restaurants.

NBGH believes the survey data provide a pathway for businesses to help their workers cope despite the bad economy, including:

• Offering financial incentives to motivate health behavior changes;
• Disseminating more information about the costs and quality of services at a provider level, such as emergency room care versus walk-in clinic;
• Using benefit statements to articulate clearly a commitment to wellness; and
• Providing more targeted communications based on specific health conditions.