CDHC Solutions Jul/Aug 11

Safeway Focusingon What MattersHealthy Behavior, Accountability

Medicare Reform:Getting Beyond Medi-scare

Supporting Overall Well-beingHealthways Aids Lincoln Industries

Employees to Live Healthier Lives

With Rising Critical Illness Costs,Employers See Increased Value

in Voluntary Benefi ts

www.theihcc.com

solutionsInnovative Health and Benefi t Management

ISSUE || July – August 2011

848585 CDHC Magazine_v4.indd 1 7/19/11 4:21 PM

www.cdhcsolutionsmag.com I CDHC Solutions™ I July/August 2011 3

I n s I d eF e a t u r e s

COMING UP NEXT: Recap of CDHC Solutions FORUM West in Denver; Weeding out fraud and abuse; Health care access through employers offering on-site and off-site health services.

ON ThE COvEr: With more than 1,700 stores in the United States and Canada, Safeway is the second largest supermarket chain in North America. Photo by Cesar Rubio.

35 supporting Overall Well-being Healthways Aids Lincoln Industries Employees to Live Healthier Lives

Since its beginning in the 1970s, the health of the employee population has always been important to Lincoln Industries, a manufacturer specializing in high-performance metal finishing. The company was one of the first to launch an on-site occupational health nurse and has continued to build its wellness program with health screenings, fitness education classes, health coaching, and weekly wellness events. With the support of Healthways, Lincoln introduced Well-Being Assessment (WBA), a tool for assessing overall well-being within organizations. The WBA drives how a company evaluates and communicates a wellness program’s success, producing real results and creating a healthier employee population by offering rewards and incentives to encourage employee participation in a wellness program.

By Nikki Duggan

31 Focusing on What Matters Most— Healthy Behavior, Accountability

There is more to Safeway Inc. than fresh vegetables, a frozen food aisle, the Signature Cafe and weekly coupon specials. The grocery retailer, which has more than 1,700 stores throughout the United States and Canada, is making its mark in the health care industry and providing quality health benefits for its more than 186,000 employees. The second largest supermarket chain in North America delivers a holistic approach to health, wellness and fitness to its employees and their families. Through its subsidiary, Safeway Health, the grocery chain has transformed the approach to health care, motivating its employees to be more accountable and more cost-conscious health care consumers. Employees benefit from better health, and the company saves money with its all-inclusive health care costs.

By Larree Renda

Safeway Health President Larree Renda (left) stands in the 17,000-square foot fitness center at the Safeway corporate campus in northern California. Always at the forefront of promoting good health for its nearly 200,000 employees, Safeway promotes a smoke-free environment at all its corporate and division headquar-ters as well as its retail stores. The company also pro-vides a free eight-week smoking cessation program for its employees, who are trying to quiet smoking.

Photo by Jeff Warren

4 July/August 2011 I CDHC Solutions™ I www.cdhcsolutionsmag.com

I n s I d e d e P a r t M e N t s

P r I n t A n d O n L I n e K e YConnect with CdhC experts and community members online at www.CdhCsolutionsMag.com by looking for the following symbols at the end of each article:

HEALTH PLANS

MEMBER BLOG

TOTAL POPULATION HEALTH/WELLNESS

WHO’S WHOPROFILE

HSA/HRA/FSA ADMIN & FINANCE

BROKER/ADVISOR/CONSULTANT

EMPLOYEE COMMUNICATION

& EDUCATION

PHARMACY BENEFITS MGMT

POLICY & LEGIS PERSPECTIVE

SUPPLEMENTAL BENEFITS MGMT

SMEDICALTOURISM

TOOLS AND TECHNOLOGY

blog

8 editor and Publisher’s Lett era Mile high opportunity to learn, Connect, share

11 Health Care ConsumerismMedicare reform: Gett ing beyond Medi-scare

By Ronald E. Bachman

13-17 CdHC solutions FOruM Westn Featured speakers in denvern benefi ts of att ending ForuMn Professional Credits available for CrCs and hr

Professionalsn agenda for ForuM Westn sponors/exhibitorsn registration rates

18 People on the Move

18 Briefs/Innovationsn sprint’s open Networks drive Innovation

in telemedicinen humana delivers on Well-being Commitment with

launch of humanaVitality Wellness, loyalty Programn transitions optical launches healthy site Calculator

For employees

40-45 Innovation showcasen access to aff ordable health Care

is in the CardsBy WellDynex

n reaching Wellness Goals with a healthy dose of Incentives

Best Buyn Providing Complete transparency,

Full disclosure key in Choosing best PbMBy EnvisionRxOptions

46 Ask the expertInnovative risk Management strategies for reducing health Care benefi t Costs

By Mike Coyne

47 Who’s Who Profi les

50 resource Guide/Ad Index

23 HsA/FsA/HrA Administration & Finance

Employer Health Coverage: Dropout or Reinvent?

By Jim O’Connell

25 supplemental Health & Voluntary Benefi ts

With Rising Health Care, Critical Illness Costs, Employers See Increased Value in Voluntary Benefi ts

By Beth Bierbower

27 rewards & IncentivesFive TOTALLY Diff erent Approaches to Wellness Incentives, Pick One

By Henry Albrecht

29 Health Plans—self-FundingSelf-Funding Employers Health Benefi ts in Midst of Dealing With Health Care Reform

By Doug Ramsthel

event

Th e 2011 CDHC Solutions Forumour Conference has expanded with our inaugural Forum West in denver growing to a two-day event, sept. 14-16.www.cdhcsolutionsmag.com/forum/

have something to share? Post a blog or forum on www.cdhcsolutionsmag.com today!

*Enabled by IncentOne®Quest, Quest Diagnostics, Blueprint for Wellness, any associated logos, and all associated Quest Diagnostics registered or unregistered trademarks are the property of Quest Diagnostics. All third party marks - ® and ™ - are the property of their respective owners. © 2011 Quest Diagnostics Incorporated. All rights reserved.

Healthy employees have their rewards Introducing Blueprint for Wellness Rewards™ from Quest Diagnostics. Now, the same company you use to create health insight through wellness screenings can help you use rewards to drive improvement. Blueprint for Wellness Rewards* makes it simple to reward on the outcomes that matter, encouraging employees to be accountable for their health and take action to improve it.

Customize your Rewards:

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Request a demo and learn more about Wellness Rewards from the leader in clinical laboratory testing, Quest Diagnostics.

Call us at 1.800.654.7824 or visit BlueprintforWellness.com/rewards

Measures that Matter. Wellness that Works.™


O n L I n e LEARN. CONNECT. SHARE.

Broker / Advisor / ConsultantHealth Department Plays up Flexibility in Rules for New Insurance Exchanges

By Sam Baker

Health Plans & Managed CareWhen Is a Rebate Not a Rebate?

By Joseph Antos

Pharmacy Benefi t ManagementDangerous Substandard Medicines: An Increasing Global Problem

By Roger Bate, Julissa Milligan and Lorraine Mooney

Policy & LegislationBust or Bailout? Th e Future of Private Health Plans Under ObamaCare

By John R. Graham

Population Health & WellnessHealth Games Drive Immediate Rewards

By Eric Zimmerman

resisting Federal encroachments: Founders vs. today

By Dave Racer, Founder of DGR Communications

Th inking About Making the shift to Full-replacement CdHP?

By Jennifer Benz, Chief Strategist and Founder of Benz

Communications

do it Yourself Health reformBy David Chase,

CEO of Avado

What Health Care Benefi ts Issues Are You Most Concerned About?Sign up as a free member to join the only networking community for innovative health benefi ts management. Learn the latest trends. Connect with like-minded professionals in your fi eld. Share your blog, forum or vision on health care consumerism. Visit www.cdhcsolutionsmag.com, today.

social networking |

Facebook: Become a Fan of CDHC Solutions Magazine and connect with other CDHC followers, plus receive recent site postings from our wall feeds, which include FORUM incentives and more.

LinkedIn: Make sure to join our CDHC Solutions Group where you can participate in the latest discussion on CDHPs.

TweetTweet: Follow us on Twitt er @cdhcsolutions and stay in the constant loop with health care reform news, industry updates and more.

Blogs | sharing thought leadership with 70,000+ members. It’s our mission to feature blogs with helpful advice, best practices and solutions that really work. Connect with experts who take pride in learning and staying motivated:

CdhC solutions online brings you the Collective Voice on health Care Consumerism via a social networking site that uses a 24/7 virtual, portable format.

NOMINATE & RECOGNIZE INNOVATIVE HEALTH & BENEFITS MANAGERS

Nominate today!

n John J. Robbins Sr., Memorial CEO Leadership Award: To an outstanding leader of any size organization who is an exceptional businessperson, as well as a successful parent and pillar of the community.

n CEO Leadership Award: To an outstanding leader of any size organization, who embraces supports and endorsed an innovative health care or benefi ts program.

n Most Innovative Plan Design Award: To an HR/Benefi ts executive who identifi ed and solved a problem using an innovative health care or benefi ts program.

n Most Effective Plan Implementation Award: To an HR/Benefi ts team that successfully implemented a health care or benefi ts program and exceeded goals or reaped unanticipated awards.

n Most Innovative Employee Education/Communication Award: To an employer, who designed and implemented tools for their employees that exceeded plan participation.

n Most Innovative Employee Empowerment Award: To an employer, who designed and implemented tools that had a high engagement of employee participation in a health care or benefi ts program.

n Most Effective Population Health & Wellness Award: To an employer who uses the most innovative method to reduce absenteeism and chronic disease costs to improve overall employee health.

n Public Policy Leadership Award: An individual who encourages health care consumerism in public policy through legislation.

n Most Effective Solution Provider Award: To a solution provider who introduces the most innovative health care or benefi t solution.

n Most Innovative Partner-Consultant Award; To a consultant who worked most effectively with an HR/Benefi ts team to implement a health care or benefi ts program.

n Most Innovative Broker Award: To a broker, who learned a client’s needs and provided the most effective solution for the employer.

Do you know someone who goes the extra mile? A health and benefi t manager who is a creative problem solver and innovator We’re looking for the industry’s true superstar—professionals in health care and benefi t management, including: solutions providers, brokers, TPAs, employers, benefi ts coordinators, and HR managers, who have excelled at implementing solutions to complex health care benefi ts issues. Superstars to be published December 2011 and will be accessible to more than 70,000 readers.

For details, please visit www.cdhcsolutionsmag.com or www.employersweb.com. Nominations close Sept. 30, 2011. E-mail your Superstar nomination to nominations@fi eldmedia.com or nominate online.

Nomination Categories:500 - 2500 employees 2501 - 7500 employees 7500+ employees


Todd CallahanManaging [email protected]

Doug FieldCEO/[email protected]

L e t t e r edItor & PublIsher

until 1858, the denver area had few settlers. however when William Greeneberry “Green” russell and sam bates discovered gold in what is now in the suburbs of the Colorado capital, thousands of miners and prospectors flocked to the area hoping to strike it rich.

although attendees probably won’t discover gold at CdhC solutions ForuM West on sept 15-16 at the Marriott tech Center, they will gain valuable nuggets of information that will save their employer time and money when enhancing its current health and benefits offering.

The only conference series dedicated to innovative health and benefit management, CdhC solutions ForuM has produced two conferences over the past year in atlanta and has received rave reviews from attendees who enjoyed the intimate setting where one can easily learn from industry leaders, who conduct workshops or are panelists during one of the general sessions.

“The speakers represented different aspects of the industry which provided a holistic view of industry trends,” said Jan Pynappel, vice president, hsa products manager for Fifth Third bank, who attended ForuM east in May. “The vendor exhibits were good and accessible. The breaks allowed enough time to visit and talk with them.”

arguably the most informative of the general sessions is the employer panel. In denver the trend continues. employers will be able to hear from safeway’s vice president of benefits, shawn leavitt; former Wal-Mart global benefits designer, tom emerick; and Cecily hall, former director of benefits for Microsoft, share their personal experiences in designing a successful health plan model for some of the largest companies in the world.

Not only will attendees gain nuggets of knowledge from how these experts helped their respective organizations revamp their employee health benefits package, attendees will have a chance to develop a healthy dialogue with each of the panelists during a question-and-answer session. You also can connect with the panelists outside of the workshops and general sessions during one of the many networking breaks.

New for denver is the table topic lunch where attendees can rub elbows with bachman, hickman and many other solution providers in an eight-person setting. This allows you to connect and share with experts and your peers, who are dealing with similar conflicts of offering a health benefits package for their employee population while keeping costs down and remaining compliant with the health care law.

For more information and to register please visit www.cdhcsolutionsforum.com. register by aug. 15 and take advantage of the early bird rate.

also as a reminder the deadline to nominate your superstar is sept. 30. For the sixth year in a row CdhC solutions is proud to present our solutions superstars edition. This issue will be published in december. so don’t delay. honor the unsung hero in your office, today. Nominations can be e-mailed to [email protected] or recorded online at www.cdhcsolutionsmag.com or www.employersweb.com. For more information please see our ad on page 7.

We hope you enjoy this issue of CdhC solutions, and we look forward to seeing in denver in september.

sincerely,

A Mile High Opportunity to Learn, Connect, Share

www.cdhcsolutionsmag.comvOLUME 7 NO. 5 JULy/AUGUsT 2011

Published by FieldMedia llC292 south Main street, suite 400

alpharetta, Ga 30009 Tel: 404.671.9551 • Fax: 770.663.4409

CEO/ PUbLIshEr/EDITOr-IN-ChIEFdoug Field

404.671.9551 ext. 101 · [email protected]

AssOCIATE PUbLIshEr Brent Macy


MANAGING EDITOrtodd Callahan


sENIOr EDITOrMavian Arocha-rowe


AssOCIATE EDITOr/sOCIAL MEDIA MANAGErJonathan Field

[email protected]

MArkETING & sALEs COOrDINATOrKelly Hall • [email protected]

sALEs AssOCIATEsNatIoNal aCCouNt MaNaGer

Brent Macy 404.671.9551 ext. 103 · [email protected]

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ArT DIrECTOrKellie Frissell


ChAIrMAN OF CdhC solutIoNs EDITOrIAL ADvIsOry bOArDronald e. bachman, Ceo, healthcare Visions

EDITOrIAL ADvIsOry bOArD

Kim adler, allstate; diana andersen, Zions bancorporation; bill bennett; doug bulleit, dCs health; Jon Comola, Wye river Group; John hickman, alston+bird llP; tony holmes, Mercer health & benefits; Marc Kutter,

Pilothsa; sanders McConnell, My hsa rewards; roy ramthun, hsa Consulting services llC; John Young, CIGNa

WEbMAsTEr Kevin Carnegie

[email protected]

tom [email protected]

rEPrINTsrogers Beasley


bUsINEss MANAGErKaren raudabaugh


CDHC Solutions™ Volume 7 Issue 5Copyright ©2011 by FieldMedia llC. all rights reserved.

CDHC Solutions™ is a trademark of FieldMedia llC. CDHC Solutions™ is published eight times yearly by FieldMedia llC., 292 south Main street, suite 400, alpharetta, Ga 30009. Periodical postage paid at alpharetta, Ga and additional mailing offices.

to subsCrIbe: Make checks and money orders payable to CDHC Solutions™ magazine 292 s. Main street, suite 400, alpharetta, Ga 30009 or visit www.cdhcsolutionsmag.com. Non-qualified persons may subscribe at the following rates: single copy $7.50; $75.00/yr in the u.s., $105/yr in Canada and $170/yr international. Please contact FieldMedia at 404.671.9551 or [email protected] for name/address changes.

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CDHC Solutions™ is designed to provide both accurate and authoritative information with regard to the understanding that the publisher is not engaged in rendering legal, financial or other professional service. If legal advice is required, the services of a professional adviser should be sought.

The magazine is not responsible for unsolicited manuscripts or photographs. send letters to the editor and editorial inquiries to the above address or to [email protected]. Permission to reuse content should be sent to, [email protected].

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BY rOnALd e. BACHMAnFsa, Maaa, PresIdeNt aNd Ceo » HeALtHCAre VIsIOns

HeALtH CAreCOnsuMerIsM

Frightening seniors about potential changes to Medicare is often referred to as Medi-scare. all americans should be moved to make difficult changes. The 2011 Medicare trustees report projects

Medicare’s hospital Insurance Fund will run out of money in 2024. recently standard & Poor downgraded its financial outlook for the united states. Federal budget deficits are projected to exceed $1 trillion annually. as a country we have borrowed more than $14 trillion. Medicare alone has a $38.2 trillion unfunded deficit. Just like families that have outspent their income and borrowed too much, the federal government must now make reductions.

In the coming years, 78 million baby boomers will place unprec-edented demands on Medicare. every politician wants to solve financial problems by eliminating “waste, fraud, and abuse.” Medicare fraud is out of control. We now know that organized crime is heavily involved in Medicare fraud. In 2010, federal indictments in five states discovered the largest Medicare fraud scheme ever committed ($163 million)—including members and associates of an armenian-american organized crime enterprise.

Medicare is a popular program. Changing it is risky business. as part of the Patient Protection and affordable Care act (PPaCa), democrats reduced future funding for Medicare by $500 billion and suffered historic defeats in the 2010 elections. recent republican proposals may cause the same voter backlash. For once, it seems reasonable to attack fraud before reducing benefits, increasing taxes, or dramatically changing Medicare.

Margaret Thatcher once said, “First you need to win the argument, then you win the votes.” Neither republicans nor democrats seem to follow that advice. The proposed republican Medicare reform was highlighted when presidential candidate Newt Gingrich stated that “right wing social engineering” is no better than “left wing social engineering.” Newt is a student of Margaret Thatcher and was encouraging a national bipartisan conversation on Medicare reform. Mr. Gingrich in-artfully meant that neither side should impose a solution. he views the “ryan Plan” Medicare reform as a courageous start, not a final answer.

There are many ideas that have not been widely discussed with the american public. below are examples of several changes that could be a part of any broader reform:

n Fraud eliminationn remove the 150 day limit on hospital stays (Part a)n Provide a maximum out of pocket level for physician services

(Part b)n allow Medicare health savings accounts (hsas)

Medicare savingsThe current republican proposal does not produce new Medicare

savings until 2022. eliminating fraud can produce savings of $1 trillion over the next 10 years. to stop fraud now, sam Palmisano, Ceo of IbM, offered his company’s technology as a free public service. The savings from fraud elimination can add to the solvency of Medicare and should be partially used to modernize Medicare.

Medicare ImprovementsThe greatest fear of the elderly is outliving their assets. Part a exposes

beneficiaries to the cost of hospitalization beyond 150 days. reform should eliminate the Part a hospital day limit. a CMs actuary priced removal of the day limit for all as one fourth percent of current Part a and Part b costs.

Part b exposes beneficiaries to an unlimited 20 percent cost share. employer plans typically include a limit on patient payments—called “Maximum out-of-Pocket” (MooP) limits. Part b should have a MooP limit of $5,000 to $10,000. a $5,000 MooP limit on Part b would cost approximately 3.5 percent of Part a and Part b costs.

hospital stays are paid on a fixed drG basis. extended hospital stays or outliers are paid using a hospital charges rather than true costs. a change in the outlier reimbursement could be used as a cost offset.

Medicare hsas would generate savings to offset any added costs of modernizing Parts a and b. a 2009 study by the american academy of actuaries showed employer plans had 12-20 percent savings with hsa eligible plans. about 9.2 million Medicare beneficiaries have Medi-gap plans to fill the gaps in current coverage. The above improvements would minimize the need for Medi-gap plans. The $200-$300 monthly Medi-gap premiums (totaling $22–$33 billion) could be put into hsas.

Good Policy & Good PoliticsIt will be difficult to increase Medicare at a time when the debate is

how to reduce costs, but both can be done. sometimes doing the right thing is also good politics. The fastest growing block of voters in the country are baby boomers (78 million: 10k per day) becoming eligible for Medicare. tea Party members are 40-60 percent Medicare beneficiaries. Politicians have a chance to solidify this voting group by improving Medicare as the program is also being reformed.

Making improvements to Medicare, politicians can support increased personal security, lower costs, promote more private market Medicare advantage options, and diminish the sale of Medi-gap plans—the worst health insurance buy in the market.

For a financially viable Medicare program, any reform needs broad public support. The problems are huge and intimidating. boomers and generations beyond will demand a new model of Medicare that reflects their needs. Constructive honest discussions can move us past Medi-scare and into an era of creative solutions; if only we listen to Margaret Thatcher.

Rnald E. Bachman FSA, MAAA, is president and CEO of Healthcare Visions Inc. He is a senior fellow at the Center for Health Transformation, the Georgia Public Policy Foundation, the Wye River Group on Health, and the National Center for Policy Analysis. Bachman is the chair of the editorial advisory board of CDHC Solutions and can be reached at [email protected].

…politicians can support increased personal security, lower costs, promote more private market Medicare Advantage options, and diminish the sale of Medi-gap plans.

Medicare Reform: Getting Beyond Medi-scare

The increasingly consumer-directed U.S. healthcare system is marked by rising costs, regulatory changes and chronic ineffi ciencies that plague all parties involved. FIS Healthcare Solutions is helping to transform the healthcare industry by facilitating the fl ow of information and funds between patients, payers, providers and fi nancial institutions.

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As a result, healthcare providers get a single interface for streamlining HIPAA and fi nancial transactions. Payers gain a consumer-directed healthcare (CDH) administration platform to improve relationships with members and employee groups. Patients have a more seamless healthcare experience – from saving and paying for care, to making treatment decisions. And fi nancial institutions are well positioned to strengthen and grow their healthcare customer relationships.

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CDHC Solutions Magazine.indd 1 4/28/11 9:22 AM

Ron BachmanFSA, MAAA, Sr. Fellow, Center for Health Transformation; President, Healthcare Visions; Chairman of CDHC Solutions Editorial Advisory Board

Tom TorreSVP General Manager, FIS Consumer Driven Healthcare Solutions, FIS Global

John YoungSenior Vice President Consumerism, CIGNA HealthCare

Roy Ramthun An expert on Health Savings Accounts and consumer-directed health care issues.

Jon ComolaCEO and Chairman, Wye River Group; Founder of Foundation for American Healthcare Leadership

John HickmanPartner, Alston+Bird LLP

Featured Speakers

Who Should Attend?CEOs/Presidents/CFOsHR and benefi ts executivesHealth plan administratorsCorporate wellness and medical directorsBenefi t brokersThird party administratorsBenefi t consultantsBankers

www.cdhcsolutionsforum.com

BE A VOICE ON HEALTHCARE

CONSUMERISMUnderstand the health care law. Manage better health & benefi t choices. Empower your employees.

PHR

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• SPHR® • GPHR

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ute®

Register at www.cdhcsolutionsforum.com. Group rates are available. Receive a 25% discount when you sign up two or more attendees.

Continued... A.MissingtheMarkinSpecialtyHealthBenefits–Dental/VisionEducation

B. Consumer-centric Employee Benefits: Economics 101

C. How to Educate, Engage and Empower Health Care Consumers While Achieving Corporate Finance

and Wellness Objectives

D. How to Use Incentives to Drive Behavior Change While Improving the Overall Health of Your

Employees and Reducing the Cost of Delivering Health Care

12:00 p.m. – 1:30 p.m. Lunch in Main Ballroom / Table Topic Lunch / Exhibits Open New for West! Discuss a variety of topics with industry experts over lunch.

1:30 p.m. – 2:30 p.m. Afternoon General Session: Implementing Health Care Law: The Year in Review and What’s on the Horizon for CDHC

2:30 p.m. – 2:45 p.m. Networking Beverage Break / Exhibits Open

2:45 p.m. – 3:45 p.m. Track #2 Workshops – Select One (1) E. Dispelling the Myths of CDHC

F. Simplifying the Consumer Health Care Experience

G. Rising to the CDHC Full-Replacement Challenge by Zions Bancorp

H. Motivation for Participation in a Wellness Program – Why the Right Incentive Matters

I. Initiatives in Health and Wealth by RedBrick Health and Fidelity

3:45 p.m. – 4:15 p.m. Networking Afternoon Break / Exhibits Open

4:15 p.m. – 5:15 p.m. Closing General Session New for West! Employer Panel “How Employers are Moving to Health Care Consumerism and Addressing the Health Care Law,”

5:15 p.m. – 7:15 p.m. Opening Night Reception / Exhibits Open

Day 2: Friday, September 16, 2011

7:30 a.m. – 8:30 a.m. Networking Continental Breakfast / Exhibits Open

8:30 a.m. – 9:30 a.m. Opening General Session: Impact of Health Reform on Health Care Consumerism: A Multi Stakeholder View

9:30 a.m. – 10:00 a.m. Networking Morning Break / Exhibits Open

10:00 a.m. – 11:00 a.m. Track #3 Workshops – Select One (1) J. Value Based Design Fuels Patient Engagement

K. Aligning Business Policies for Optimal Health and Minimal Cost

L. Improved Health Status With Account-Based Plans

M. Workshop Presented by Optum Financial

11:00 a.m. – 11:30 a.m. Networking Break / Exhibits Open / Exhibitor Prize Drawings

11:30 a.m. – 12:30 p.m. Closing General Session: Health Care Cost Transparency – Right to Know

For the latest updates and to register, visit www.cdhcsolutionsforum.com or call 404.671.9551.


PeoPle oN the MoVeBrIeFs

PeOPLe On tHe MOVeCastlight Health, the premier company enabling consumers, employers and health plans to take control of health care costs through easy-to-use shopping tools with unbiased pricing, quality and patient experience information, has announced that Helen darling, president and Ceo of the national Business Group on Health, has joined its advisory board. darling has an unmatched reputation and long history of promoting better and more affordable health care for americans and their employers. In 2009 she was the recipient of WorldatWork’s Keystone award, its highest honor in recognition of sustained contributions to the field of human resources and benefits. a year later she received the President’s award by the american College of occupational and environmental Medicine. In addition to these two prominent awards, she was given a lifetime appointment in 2003 as a national associate of the National academy of sciences for her work for the Institute of Medicine. These accolades not only highlight her commitment but also showcase her sense of urgency surrounding the future of health care. darling joins a distinguished group of formal advisors to Castlight health, including troyen brennen, M.d., M.P.h., eVP and chief medical officer of CVs Caremark; alan M. Garber, M.d., Ph.d.; henry J. Kaiser Jr., professor of medicine, director, Center for Primary Care and outcomes research, director, Center for health Policy, stanford university, and Provost of harvard university, effective sept. 1, 2011; Peter hayes, principal of healthcare solutions; david G. Knott, director

at McKinsey & Company; david Joyner, sVP at blue shield of California; arnold Milstein, M.d., professor of medicine at stanford university; and Kenneth l. sperling, global health & benefits practice leader at aon hewitt. as do all Castlight advisory board members, darling represents herself and not her employer. darling will take no personal compensation for her work as an advisor to Castlight.

HealthPlan services (HPs), the nation’s leading technology and admin-istrative services provider for the insurance and managed care markets, has appointed Michael Buda, esq., Phd, as executive vice president and chief human resources officer. In this role, he will manage development and deployment of the organization’s human resource policies, procedures and strategies. buda brings to hPs more than 25 years of experience in providing organizational consulting and training, conflict resolution and employment law advocacy to business organizations and educational institutions. he is a leader in strategic best practices, with expert qualifications in legal compli-ance and hr functional areas, including talent acquisition, retention and succession planning and performance and workforce accountability systems. Prior to joining hPs, buda was senior vice president of human resources and employment legal counsel for superior hospital Corporation Inc.

The Institute for Health technology transformation announced that Barry P. Chaiken, Md, MPh, chief medical officer, docsNetwork ltd, and former hIMss chair has been appointed senior fellow and health It chair for

sprint’s Open networks drive Innovation in telemedicineHow does a wireless carrier make health care delivery more cost efficient and

patient friendly? By enabling mobile applications and machine-to-machine (M2M) communication, Sprint is on the forefront of telemedicine. The driver of Sprint’s innovation is its “open” strategy, providing opportunities for developers to create innovative applications and solutions for the medical community. It also encourages third-party development, streamlines the process of certifying a product on the network and increases the speed a company can get its product to market.

Rather than dictating what developers can do on the Sprint network, Sprint makes available application programming interfaces (API’s) that allow businesses to develop wireless solutions and applications that take advantage of capabilities at the network, IT, service and device level. Sprint has moved beyond the idea that “as a carrier we know best” and instead focuses on leveraging its assets to drive innovation to the market.

Sprint’s open approach has attracted the attention of many entrepreneurial health care companies who understand that chronically ill patients recover faster and are more comfortable at home than in a hospital and that telemedicine has the potential to improve quality of life.

Humana delivers on Well-being Commitment with Launch of HumanaVitality Wellness, Loyalty Program

This summer, Humana Inc. health plan members start earning rewards for their efforts to live healthier lives through the launch of HumanaVitality—a wellness and loyalty program featuring a wide range of well-being tools and rewards from leading reward-partners. A key element of the program is a sophisticated health-behavior-change model supported by an actuarially sound incentive program.

HumanaVitality is now included with Humana commercial members’ medical plans

when they begin a new plan year with Humana. As Humana members enroll in the program, they’ll get the information they need to get started, improve their health and earn points to redeem for rewards.

“Humana is focused on innovation and providing our members a program that will help them succeed at pursuing better health and achieving lifelong well-being,” said Michael B. McCallister, Humana’s chairman of the board and chief executive officer. “With the launch of HumanaVitality we are excited to have our members experience this comprehensive, proven wellness solution.”

The process of earning rewards is simple. First, members will go through a health assessment to determine their “Vitality Age”—which can be different from their biological age. Vitality Age provides each member with a scientifically calculated representation of their risk-adjusted, or “true” age, and allows members to easily understand how their current behaviors are impacting their health. Next, members are presented with a set of “personal pathways” or recommended goals to help improve their health based on their individual health needs. Members self-select which goals to pursue. HumanaVitality provides incentives for more than 30 activities, broken into four categories: Fitness (i.e. daily exercise); Healthy Living (i.e. participating in a stop-smoking program); Prevention (i.e. biometric screening); and Education (i.e. getting CPR certification).

transitions Optical Launches Healthy sight Calculator for employees

Encouraging employees to take advantage of their vision benefit to promote eye health and optimal sight, Transitions Optical Inc. has introduced an individual version of the Healthy Sight Calculator. The free, online tool allows users to calculate their risk for eye-related diseases and vision problems, and how much they could save—in time, money and sight—with the right vision care and vision wear through their vision benefit. Results vary

CdHC InnOVAtIOns huMaNa » traNsItIoNs oPtICal

Innovations, continued on page 20


PeoPle oN the MoVe BrIeFs

the Institute’s 2012 series of educational programs and meetings. dr. Chaiken has more than 20 years experience in health care information technology, patient safety, clinical transformation, and public health. during his career, he has worked with the National Institutes of health, uK’s National health service, McKesson and bearingPoint. In dr. Chaiken’s role as senior fellow and health It chair he will work with the Institute’s advisory board and other industry leaders to program and develop leading educational programs and collaboration opportunities for health care leaders. In tandem with the Institute’s mission to promote the effective use of technology across the u.s. health system, dr. Chaiken will engage leaders from the community to ensure the Institute continually provides timely and relevant resources.

u.s. Preventive Medicine has announced that Joe Theismann, super bowl-winning quarterback, is now a spokesperson for the company. Through the partnership, Theismann will help the company spread its message about the importance of proactive health management and risk prevention. In 1982, Theismann was elected NFl Man of the Year for his community service and dedication to the health and welfare of children. staying true to this commitment, Theismann participates as a member on the sports advisory board of st. Jude Children’s research hospital. Theismann also has a personal connection to preventive health. his father avoided life-threatening complications when a doctor detected a previously unknown abdominal aortic aneurysm during a routine exam. In 2009, Theismann was part of the Find the AAAnswers campaign, a multi-faceted public education program

about the medical condition. In addition to his work with u.s. Preventive Medicine, Theismann holds close ties to the NFl with a career spanning 37 years as a player, analyst and commentator.

The national Committee for Quality Assurance (nCQA) announced that Mary Barton, Md, MPP, is the organization’s new vice president for Performance Measurement. barton will oversee the development, use and maintenance of techniques NCQa uses to evaluate health care quality. she will ensure the scientific integrity of NCQa measurement and research. she also will lead NCQa in winning and executing health care quality measurement contracts for federal and state governments. dr. barton comes to NCQa from the agency for healthcare research and Quality (ahrQ), where she was the scientific director of the u.s. Preventive services task Force (usPstF). she supported and provided oversight for the methodological, evidence review and recommendation-making work of the usPstF. Prior to joining ahrQ, she was an assistant professor at harvard Medical school, where she performed clinical epidemiology and health services research related to cancer screening and prevention in terms of access, test performance and outcomes.

Impactrx, the pioneer in measuring the impact of promotion on physician prescribing behavior announced that Kjell nygren, Ph.d. has joined the

Briefs, continued on page 20

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based on the user’s age, gender and ethnicity, all of which impact risk for vision problems and health issues that can affect the eyes. The new tool can be used by employers to educate their workforce, or accessed directly by consumers at HealthySightCalculator.org.

Transitions Optical developed the Healthy Sight Calculator with a team of experts through its Healthy Sight Working for You initiative, which aims to raise awareness about the value of eye care and eyewear available through a vision benefit. Contributors to the Healthy Sight Calculator include Kovin Naidoo, O.D., M.P.H., Ph.D., International Centre for Eyecare Education; Robert Pariseau, CLU, CEBS, Benefits Solutions Group; and Vincent Young, M.D., chairman, Division of Ophthalmology at Albert Einstein Medical Center.

The Healthy Sight Calculator takes visitors along a path, helping them understand their individual risk and potential savings, while providing education along the way. Visitors to the calculator can watch a video setting up the importance of caring for their vision, or can skip immediately to entering their demographic information, including age, gender and ethnicity. With each selection, the calculator provides details on how their demographics impact their risk. Users also are asked to enter whether they have health insurance, because the calculator considers this when determining how much the individual could pay out-of-pocket in medical costs for different eye- and overall-health issues

Bloom Health Launches nation’s First Private exchanges With two Health Plans

Bloom Health announced that two health plans have begun to sell and market health benefits to employers through the company’s newly-launched private exchange. The private exchange is currently available through the largest insurer in Michigan and through Medica, a Minnesota-based health plan.

The Bloom Private Exchange Platform™ is a turnkey solution allowing health plans to offer their employer clients a defined contribution solution to predict health care costs and provide personalized benefits in a group market setting. This new offering geared toward health plans further enhances Bloom Health’s suite of products, tools and services that help employers responsibly engage their workforces in making their own health benefit purchasing decisions.

A leader in defined contribution health benefits, Bloom Health works with employers

of all sizes to move the employer-sponsored system toward better cost predictability for employers and increased choice and personalization for employees. The company currently works with nearly 50 employers, representing more than 25,000 members. The Bloom Private Exchange Platform™ is the company’s first health plan-specific defined contribution solution

The Bloom Private Exchange Platform™ aggregates on one platform the various insurance products and services that employers can make available to their workforces. Within the private exchange, employers can set an amount they are willing to contribute to the coverage, and employees then select the coverage that is best for them according to their health, financial situation and appetite for risk.

Health4, Medical Mutual of Ohio develop new Approach to Control Health Care Costs, Increase Quality

Health4 and Medical Mutual of Ohio have developed an innovative program which will reward hospitals and doctors for keeping people healthy and out of the hospital.

Medical Mutual, the Ohio-based health insurer and Health4 have collaborated on a new approach to control health care costs by improving coordination and quality of care. Under the new agreement, Health4 doctors and hospitals will be financially rewarded when quality health care measures are met and savings are realized.

Health4, a clinically integrated health care delivery model consisting of The Medical Group of Ohio (MGO) physicians and OhioHealth’s facilities and services, brings together primary-care doctors, specialists and hospitals, which all take part in coordinating patient care and a continuous quality improvement program. The aim is to keep patients from developing potentially life-threatening—and expensive—medical complications.

The program provides an incentive to treat more patients with complex medical conditions, because they represent the largest potential savings by improving their health. The integration of insurance claim data and clinical data also give doctors an accurate picture of everything about a patient’s current medical condition.

The partnership also features a strong emphasis on preventive care and wellness. The sharing of data allows physicians to be informed when their patient last had a preventive/wellness visit and to then contact the patient to facilitate future wellness care.

company as Vice President of analytical services. Nygren will strengthen the company’s position as a state-of-the-art provider of analytical services to address clients’ needs for better understanding the effectiveness of their promotional activities in driving physician treatment choice. In this newly-created role, Nygren will provide leadership for the advanced analytics group by driving innovation in the development and delivery of services to better meet client needs. Nygren has 10 years of experience within the pharmaceutical industry and he is widely recognized for his ability to design and deliver solutions that help biopharma brands achieve commercial success. his most recent position was director of advanced analytics with IMs health. Prior to that role, he held numerous positions, including Consultant with Zs associates, Practice executive with Campbell alliance and Principal with IMs health Consulting.

Companion Life Insurance Co. announced that J. Philip Gardham, its executive marketing officer for specialty markets since 2006, has been promoted to vice president, specialty markets. In his new position, Gardham will be responsible for many of the company’s stop loss programs, as well as most of the non-stop loss program business. Gardham, a native of toronto, has helped direct Companion life’s stop loss programs since joining the

company in 2006. before coming to Companion life, Gardham was a vice president of underwriting for american reinsurance Company, a wholly owned subsidiary of Munich re located in Princeton, N.J. Gardham began his career in 1988 in the claims and care management department of Mercantile and General reinsurance Co. (M&G) in toronto.

health insurer unitedHealth Group Inc. announced that G. Mike Mikan, the Ceo of its optum health service business, is leaving the company to lead a private equity fund. The company said Larry renfro will be the new Ceo of optum business, which has more than 30,000 employees and is divided into three segments: optumInsight, optumhealth and optumrx. renfro has been with the company since January 2009, and his positions at unitedhealth have included Ceo of the public and senior markets business. he joined the office of the Ceo earlier in 2011. unitedhealth is the largest u.s. health insurer based on revenue. It said optum does business with about 250,000 health professionals and physician practices, 6,200 hospitals and facilities, 270 federal and state government agencies, and more than 2,000 health plans.


blooM health » health4 » MedICal Mutual oF ohIoCdHC InnOVAtIOns

Briefs and Innovations, continued from page 19

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HSA / FSA / HRABy Jim O’COnnellExEcutivE consultant » CeRidiAn

management consultant McKinsey & Co made headlines recent-ly when it said 30 percent of employers would “definitely” or “probably” stop offering health coverage to employees in the

years after the Patient Protection & Affordable Care Act (PPACA) takes full effect in 2014.

The finding of a 30 percent dropout rate, 50 percent among employers who have greater awareness of the health care reform law, touched a raw nerve at the White House and elsewhere. Critics challenged McKinsey’s methodology and cited lower estimates by other reputable organizations.

The truth is, economic forecasting is more art than science, and at the end of the day surveys of employers about the effects of new laws on decisions they may make four or five years or more down the road, particularly about employee health benefits, and in a notoriously uncertain economy, aren’t much better than Farmers’ Almanac predictions of next winter’s snowfall.

Uncertainty: The inconvenient TruthAs the law’s major provisions kick in, starting in 2014, Washington

will exert broad, but as yet unknown, influence on the health benefit decisions of millions of employers. Put simply, the only thing certain about PPACA is uncertainty—specifically how health care reform will work in practice and how employers will respond over time, particularly to new federal government mandates.

But McKinsey researchers chose to focus on only one possible outcome of all this uncertainty: the employer dropout rate.

Whether the percentage of employers that will drop coverage is 30 percent, 20 percent or 10 percent is just a guess at this point. What is not a guess is that the PPACA will prompt most employers to reinvent their health benefits designs—specifically toward consumer-directed, higher-deductible, account-based health plans.

A significant piece of evidence that reinvention is already under way was the recent report of AHIP (America’s Health Insurance Plans) that enrollment in health savings accounts reached 11.4 million people in Jan. 2011, a more than 14 percent increase over the previous year.

Moreover, large group coverage is the fastest growing segment of the market, up 26 percent in the last year. Enrollment in HSAs nationally, has nearly doubled over the past three years.

Of course 11 million represents a relatively small portion of the 160 million or so people enrolled in employment-based insurance coverage. But like vast tectonic plates shifting below the Earth’s crust, powerful forces will drive double-digit growth in CDHPs for years to come.

employer Plan Change Agents—n One major change driver is exploding health costs—which have

doubled in the last 10 years. With anemic economic growth and global competition, employers must think strategically about how to contain health insurance costs through plan redesign;

health management promotion and prevention; wellness programs; and shared responsibility for costs. High-deductible health plans, coupled with HSAs and FSAs, are one way to encourage workers and their families to help manage health costs.

n A second change agent for consumer-directed health innovation will surely be key provisions of the health care reform law itself. The McKinsey study emphasized two—but there are at least three pillars of the new law that will encourage employers to reinvent health benefit plans going forward. • Employer Play or Pay. One of the tenets of the PPACA is

employers should be mandated to provide employee health coverage that meets minimum value and affordability tests or pay a fine to help subsidize premiums for the uninsured.

McKinsey tried to estimate the percentage of employers that will drop coverage as a result of this and other provisions. But most employers, at least in the short run, are more likely to gravitate toward lower-cost options for compliance with the law like CDHPs and HSAs.

• Exchanges. Perhaps the most transformative engine in the entire health care reform law is the provision directing states to establish health insurance exchanges, or clearinghouses, where the uninsured and others can purchase insurance coverage.

But with insurance premiums skyrocketing and federal budget deficits out of control, it’s likely that federal tax credit subsidies to purchase exchange-based insurance will prove less generous than lawmakers envisioned.

Exchange-based health coverage affordability will emerge as a decisive issue in 2014 and beyond. It will no doubt lead states to promote high-deductible, HSA-linked coverage as the affordable alternative for millions of uninsured Americans.

• Excise tax. A third prime mover of change will be the 40 percent excise tax on high-value or “Cadillac”-type health plans that will take effect in 2018. The real game-changer in health care reform, this provision will impose a confiscatory tax on the “excess value” of a health plan over and above certain statutory thresholds.

No one really knows how this extraordinary new tax will actually work but it’s pretty easy to predict the effect: few employers will actually pay it. This is because the 40 percent tax will force plan sponsors to design and offer employee health plans whose value does not exceed the tax-trigger point.

One way employers can try to keep health insurance premiums and other countable costs below the tax threshold is to offer employees higher-deductible, CDHPs linked to HSAs or FSAs. In other words, the 40 percent excise tax provision of the PPACA is likely to kill off high value, high option employer-sponsored health benefits.

To read this article in its entirety please visit www.cdhcsolutionsmag.com

employer Health Coverage: dropout or Reinvent?

Individual coverage underwritten and offered by American Family Life Assurance Company of Columbus. In New York, coverage underwritten and offered by American Family Life Assurance Company of New York. Some policies may be available as group policies. Group coverage underwritten and offered by Continental American Insurance Company. Policies may not be available in all states. Afl ac pays cash benefi ts direct to the insured, unless assigned. There may be indirect administrative or other costs. Afl ac’s Critical Care and Recovery is a specifi ed health event insurance policy.

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By BeTH BieRBOweRcoo » HUmAnA SPeCiAlTy BeneFiTS

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The prevalence and treatment costs of diseases such as—cancer, heart disease and diabetes—continue to climb while simultaneously, many employers need to continue

trimming administrative expenses in this still-difficult economy. This leaves employers searching for new cost-effective ways to help employees afford meaningful health care coverage.

Employers face a burden from rising health care costs as they struggle to underwrite a portion of their employees’ benefits premiums. But more cost-effective options are emerging to help employees and employers select optimal health coverage from their health care insurance providers.

For example, voluntary workplace benefits are an increasingly popular option for employers. These voluntary benefits that apply to critical illness, vision and dental coverage can be added to employers’ one-size-fits-all plans with little or no cost to the employer. Employees then can evaluate the different health products at affordable premiums and build a tailored plan that fits their needs. It’s important to note that this coverage is supplemental and not intended as a substitute for medical coverage.

Humana offers a Critical Illness and Cancer Plan, a voluntary benefit that delivers employers an option for their employees to safeguard against unexpected or catastrophic health events. This product, depending on an employee’s preferred level of protection, offers $5,000 to $50,000 for use to cover a variety of expenses associated with critical illness. These include out-of-pocket medical costs, home health care and rehabilitation, and travel to and from treatment facilities, as well as everyday expenses like utilities and groceries. The Critical Illness and Cancer plan, on average, costs employees less than $15 per month and is available at no cost to the employer. Again, this plan serves as a supplement to the employee’s medical plan, and covers costs not covered by the medical plan.

Say an insured employee has a $10,000 Critical Illness and Cancer plan. If the employee is diagnosed with cancer, he or she would receive $10,000 to cover expenses and if a transplant is needed later, the employee would receive another $10,000. So a $10,000 policy could pay for $20,000 or more of medical expenses for one person, depending on the costs associated with the particular critical illness. Critical illness events such as transplants, end-stage renal failure, comas, heart attacks, strokes and loss of sight, speech or hearing, are 100 percent covered with Humana’s Critical Illness and Cancer plan.

The Critical Illness plan is one the fastest growing voluntary products offered by Humana to small- and large-group customers,

with 20 percent more customers offering critical illness coverage in 2010 from the year earlier. In addition to its protection against unexpected critical illness, the plan allows employees through age 60 to elect for a $2,000 coverage increase on each of their first five coverage anniversary dates. Employees insured with this plan also are covered for up to 18 preventative health screenings each calendar year, including mammograms, colonoscopies and stress tests.

Voluntary benefits can help employers retain top talent and protect their bottom line without emptying employees’ pockets. By supplementing their employers’ general medical coverage with voluntary benefits like critical illness, vision and dental coverage, employees and their families are covered with a benefits package tailored to their needs.

Interest in these benefits has been growing steadily since 2006, when only 54 percent of employers offered a voluntary product, reported Eastbridge Consulting Group. In 2009, 87 percent of companies with 2,000 or more employees offered at least one voluntary product.

Other research from Eastbridge Consulting Group showed that 70 to 80 percent of employers said employee interest and cost containment, respectively, were the two most important advantages to voluntary benefits. In addition to cost-efficiency purposes, employees who seek more options with their health coverage favor voluntary benefits—especially as critical illnesses rates and costs continue to rise. Voluntary benefits offer cost-effective protection, often at no expense to the employer, as the physical and financial burden of these health concerns escalates each year.

Newly diagnosed cancer cases alone cost the global economy $300 billion in 2010, according to research conducted by David E. Bloom, professor of economics and demography at Harvard’s School of Public Health. That’s an increase of $70 billion from 2009 when the total cost of cancer was estimated at $228 billion.

With such disease-rate projections in mind, it’s important that employees have affordable options to stay protected against the unexpected. It’s the employer’s role to consider the needs of their workforce carefully and to provide health products like voluntary benefits to help ease their employees’ concerns about critical illnesses. S

Beth Bierbower is chief operating officer for Humana Specialty Benefits, which includes dental, vision, life, disability and worksite voluntary benefits.

with Rising Health Care, Critical illness Costs, employers See

increased Value in Voluntary Benefits

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your business a penny. Find out more at afl ac.com/criticalcare

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BEST BUY, the BEST BUY logo and the tag design are trademarks of BBY Solutions, Inc. © 2011 BBY Solutions, Inc. All Rights Reserved. 10528 www.cdhcsolutionsmag.com I CDHC Solutions™ I July/August 2011 27

RewARdS & inCenTiVeS

By HenRy AlBReCHTCEO » limeAde

wellness incentives have garnered a lot of heated coverage in recent years. Experts label them everything from a waste of money to an “accountability and alignment

mechanism” to Big Brother tactics to a genuine and honest way to boost employee health and performance. So which expert is right?

The fact is wellness incentives can be all of these. This article is designed to help you pick the approach that fits YOUR company’s strategy and culture.

1. Fun, light and Cheap• What it looks like: Teams form to see who can walk the

most miles, eat the least junk food, or run the most energetic meetings, or who comes up with the leading innovation. They complete an assessment because the CEO communicates how important, easy, and informative it is, and then it feels more like a game than a set of chores. They check in on their phones and chatter on your social intranet—all in the hope of fun, recogni-tion (the CEOs parking spot?), winning an iPad, or getting two tickets to a great concert.

• Best for: Tight-knit cultures with incredible executive support and camaraderie—those who know that people do what they want to do, not necessarily what they should do.

• Will fail if: Executive support is weak or the tools you choose don’t match your fun, holistic intent.

2. Cash and Quasi-cash Rewards• What it looks like: People get their instant gratification. They

jump through the exact number of hoops $100-$500 will entice them to jump through. This (luckily) is usually good enough to get most of your population to do all they should for prevention, which is a good start. It sets a simple, business-like, win-win compromise rooted in practicality, and will save lives.

• Best for: Mature companies arriving at a reasonable compromise between health cost reduction and employee tolerance and like the idea of saving more lives and shekels every year.

• Will fail if: You either under or overpay. Underpaying will make it seem like a joke to employees. Overpaying will make it seem like a joke to your CFO. For best results, follow a few simple norms and know up-front that lasting behavior change cannot be bought.

3. insurance-based Rewards for Participation• What it looks like: A lot like cash and quasi-cash rewards but

with the potential to overcome both the “joke” scenarios. You are essentially creating a cost-shifting or price discrimination

mechanism—and should save more lives. You are shifting costs from the willing to the unwilling, which seems not only fair to most execs, but has more at stake (10 times, not 10 percent more). You control access to the “good plan” or the “affordable plan” by how you design incentives. You still may not always get lasting behavior change across the board, but the ROI is simple to see and engagement will be higher than with smaller cash or quasi-cash rewards.

• Best for: Companies with the guts to change benefits design and who have a culture of candid, data-based decision making. Yes, this requires executive support otherwise it will get reversed when people start whimpering (which some inevitably will).

• Will fail if: Employees have a sense of benefits entitlement (often rational and based on their written and unwritten contracts with the employer) that, if violated, puts your business at risk.

4. Results light• What it looks like: Like insurance-based rewards, but ties

biometric factors or at least improves them, or at the very least engagement toward trying to improve them—to participation to 20 percent of your insurance premium.

• Best for: Companies with an abiding sense of fairness or justice relating to insurance, tempered by compassion. “People who cost more in avoidable ways should pay more or at least they should try to get better.”

• Will fail if: It’s too easy to “try and fail” or your people will revolt when they see the needles and lab coats.

5. Results-based• What it looks like:Results Light, only heavy. You either meet

national health standards or you pay more for insurance. Simple.• Best for: Companies that see their global (or local)

competitiveness hampered by health insurance costs. This is for companies paying more for insurance than for anything else except salaries—firms that can neither sustain the status quo nor wait for the government bailout. (Also, Ayn Rand fans: “Suck it up, people.”)

• Will fail if: Execution and communication are anything but flawless; people reject tough love most of the time.

To read this article in its entirety please visit www.cdhcsolutionsmag.com

Henry Albrecht is CEO of Limeade Inc., an online wellness company focused on building happy, healthy, high-performance workforces.

Five TOTAlly different Approaches to wellness incentives, Pick One

A Flexible Spending AccountsA Commuter BenefitsA Health Savings AccountsA Health Reimbursement ArrangementsA COBRA

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Anxiety surrounding health care reform compliance has driven a fresh batch of employers toward exploring self-funding. It is a viable choice for those concerned about increasing health

care costs and expanding health care coverage requirements.Employers opt for self-funded insurance plans with two things

in mind: control and potential savings. Self-funding offers them more focused control over their plan’s design, components, administration—even regulation, since there are fewer state insurance laws with which to comply. This explains why more than 72 percent of firms with 500+ employees and 55 percent of firms with 200 to 500 employees were self-funded in 2010.

Advantages of Self-Funding Under Health Care ReformClearly there is real founded concern about the financial costs

of the health care reform legislation (PPACA) due to richer benefits and coverage requirements. Self-funding is an effective cost control strategy for avoiding: (1.) Benefit requirements—self-funded plans are not included in requirements imposed on fully-insured plans such as essential health benefits, comprehensive coverage for health benefits package, annual limitations on deductibles, and guaranteed issue of coverage. (2.) Administrative requirements—jurisdiction of state ombudsmen, application of state law to prevent fraud and abuse, and administrative simplification rules will not apply to self-insured plans. Not having to comply with these requirements will reduce costs.

Health care reform also imposes significant taxation on carriers beginning Dec. 31, 2013 that will undoubtedly be passed onto employers in the form of higher premiums if fully insured. It is expected employers will save money when they are required to enroll all their eligible employees or potentially face a monetary penalty. Currently any given employer group health plan has about 25 percent or more of eligible employees waiving off their plan.

Claims data demonstrates those likely to waive coverage have significantly lower claims than those who enroll in their employer’s plan. The most cost-effective way to pay for these low claimants is to pay only for their claims costs, and an administrative fee; versus a fully-insured premium based on the higher claims employees who have already enrolled in the plan. A self-funded arrangement is the most cost-effective platform to provide coverage for healthier than average employees, as low claims equate to low costs. With fully-insured premiums being built on decades of actuarial data from current insured (excludes the healthier employees who are waiving), it could take years for a fully-insured carrier to recognize this influx of healthier employees in their rate development and premiums they offer to employers in the market.

The ABCs of Self-FundingWhen contemplating a self-insured arrangement, it is important

to make a realistic assessment of employee health and insurance utilization patterns. Factors like average age and employee health determine which option is likely to provide the optimum cost benefit.

It is not surprising that larger companies are more likely to appreciate the self-funding option, sometimes called an administrative services only (ASO) plan. Ideal candidates for self-insurance have at least 100 employees as larger numbers provide better predictability of future claims costs.

Another way to achieve solidity of costs in a self insured plan is through individual stop-loss (ISL) coverage. Companies with ISL cov-erage are only on the hook for an individual’s claims up to a maximum dollar amount, after which their insurance steps in to assume the bal-ance. Aggregate stop-loss (ASL) coverage provides similar insurance for a poor claims year for the entire group, further reducing the variability of costs.

With the more detailed claims information available under a self-funded plan, an employer becomes more empowered to focus on solu-tions including targeted wellness programs. So many wellness programs are rolled out without being targeted to employee’s specific health issues, rendering them ineffective. Targeted wellness programs based on an employer’s claims data can really help to reduce claims costs.

Building a Better Health PlanIn exchange for greater control, self-funded insurance plans

demand more effort on the part of the employer, who also becomes the plan sponsor. There are legal obligations that must be complied, such as meeting plan documentation requirements, funding bank accounts, and creating an appeals process, to name a few.

Like any package deal, things begin to look different when they are unbundled. When a company replaces a health package with individually selected components, it exposes itself to a variety of unexpected risks. In an arena where mistakes can be very costly, it pays to assemble the components of an ASO plan with the guidance of benefits experts who can point out the pitfalls and identify the best ways to save.

There is an element of risk versus reward in any health insurance plan. While self-funded insurance carries an inherent level of risk, it can be controlled with the purchase of appropriate stop-loss insurance. Those companies willing to put their money on the table are eligible for hefty payouts in the form of realized savings. With significant savings up for grabs in this tough health insurance environment, it makes sense that a growing number of companies are deciding it is worth the calculated risk.

Self-Funding employer Health Benefits in the midst of dealing with Health Care Reform


FOCUSING ON WHAT MATTERS MOST—

HEALTHY BEHAVIOR AND ACCOUNTABILITY

In 1992 James Carville, campaign manager for Bill Clinton’s presidential candidacy, famously posted this sign on the wall at campaign headquarters: It’s the economy, stupid! Th e point of this message was not to literally

call anyone “stupid,” but rather to keep the campaign focused on what matt ered most to voters. It worked.

At Safeway, and now through its subsid-iary company Safeway Health, the company follows the same philosophy: Focusing on what matt ers most. Safeway Inc. is a $40+ bil-lion grocery retailer that has transformed its approach to health care. For the past six years the company has kept both Safeway’s and its non-union employees’ per capita costs fl at, in stark contrast to the national increase in health care costs of 8.5 percent annually.

Safeway is delivering a holistic approach to health, wellness and fi tness to its employees and their families with initiatives that improve their health and motivate them to become accountable, quality- and cost-conscious health care consumers. Th is unprecedented, fully-integrated approach became part of the national conversation on health care reform and was a driver in launching Safeway Health.

Th e results speak for themselves. Over the fi ve years prior to launching a market-

based health care plan (MBHP), Safeway’s health care cost trend was fairly typical of American industry. Th e costs increased about 10 percent annually between 2000 and 2005. Since launching its MBHP for its non-union workforce in 2006 Safeway’s results have been transformational.

Today (2011) Safeway’s all-inclusive health care costs per capita (Safeway contribution + employee premium + employee out-of-pocket) index at 100—no change from 2005. Over the same period, national health care costs have increased more than 60 percent, and now index at 163 (Exhibit 1).

Guiding PrinciplesSafeway has achieved its benchmark

results and will continue to do so by applying three guiding principles:

n Health care costs are concentratedn Behavior drives costs, but the correct

incentives change behaviorn Markets are critical; information enables

consumer choice

Concentrated CostsNo matt er how you slice the pie, health

care costs are highly concentrated in a few areas. Nationally when both direct and indirect costs are considered, only four conditions

(CAD, cancer, diabetes and overweight/obesity) comprise about 74 percent of total costs. For any individual organization, the top conditions may vary. For example, a company with a large young workforce likely has pregnancy, maternity, infertility, and neo-natal expenses high on its list.

Other organizations may have high musculoskeletal expenses. Invariably, there will be a small number of disease states and conditions that comprise a signifi cant majority of the company’s health care costs.

At Safeway, the focus is on key cost driv-ers. Th is allows Safeway to focus program resources and design initiatives to help mem-bers with these conditions deal with them eff ectively. When Safeway focused eff ectively on the conditions that dominate costs, the company was able to bend the curve

Behavior and IncentivesSeventy percent of all health care costs

are caused by unhealthy behavior, and the cost of these unhealthy behaviors is very high. A smoker incurs nearly $1,800 more in average annual health care expense than a non-smoker. Similarly, an obese member on

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average will spend more than $1,400 incre-mental health care dollars annually. Other bad behaviors such as lack of exercise, uncon-trolled hypertension and uncontrolled cho-lesterol also are expensive, averaging $500 to $650 each. Worse still, at least a third (coro-nary artery disease and obesity) and up to half (cholesterol and diabetes) of people with these basic chronic conditions are not adher-ing to their providers’ directions, increasing their health risk and eventual health costs.

These low adherence rates are powerful and depressing evidence that our traditional health care system and our conventional health care plan designs do not work well at all, despite the fact the United States spends more on health care, per capita and as a percentage of GDP, than any other developed country.

The good news is these unhealthy behaviors can be reversed, and when they are reversed health care costs go down, and employees’ and their family members’ lives are saved. Safeway’s health plan addresses these conditions with targeted programs and incentives that provide strong motivation and support for employees and family members to adopt and maintain healthy behaviors.

Safeway’s success with targeted incentives has been dramatic (Exhibit 2). In only two years with its Healthy Measures program, members have dramatically reversed bad behaviors and adopted good ones—73 percent for hypertensives, 43 to 45 percent for those with high cholesterol or glucose levels, 35 percent for former smokers, and 21 percent for its obese population.

The roadmap is clear: Identify the disease states that drive your costs and compromise your plan members’ health, correlate those diseases with behaviors that need to be changed, and use incentives to drive healthy behavior. Be bold and take full advantage of the Health Insurance Portability and Accountability Act (HIPAA) allowances. HIPAA allows you to reward healthy behavior up to 20 percent of total premium costs—real money for most of your employees. And, thanks to the “Safeway Amendment” contained in the Affordable Care Act, this incentive rises to 30 to 50 percent in 2014. Failure to act not only allows costs to continue to spiral upwards, but also allows your employees’ and their families’ health to continue to deteriorate.

Creating a Market; Enabling Choice

The U.S. retail health care system is not a true market system. Markets operate nearly everywhere else in our economy and they work remarkably well. Consumers have reasonable (but imperfect) information about alternatives, they make their own choices, and they pay with their own money. When they like what they purchase, they will buy it again. When they don’t, they won’t. Good performers are rewarded and prosper. Poor performers are sent strong signals, and they either clean up their acts or they fail. This process of renewal allocates capital efficiently and provides fuel for the engine of economic growth.

Unfortunately, nothing of the kind exists in most conventional health care plans. Information is hard to come by, the provider of information may have biases, and once consumers “choose” they turn to the employer to pick up the lion’s share of the tab. Many companies and many readers of this article meet this challenge by offering consumer directed health care (CDHC) plans. These plans often provide a very good start, but commonly don’t go far enough.


For example, when a CDHC is offered as an option frequently only a minority of employees chooses the plan. In addition, the plan design itself doesn’t provide the employees the information they need to make smart, fiscally responsible, decisions in many areas of their care.

Safeway resolved these challenges in several ways. Safeway’s plan employs transparency tools for medical and pharmacy benefits that incorporate significant price incentives to motivate smart choices for non emergency services. In addition, the company provides robust decision support services to its members, enabling them to seek informed advice which includes evidence-based best practices on any medical condition they face.

Health care costs for the same procedure in a market often vary enormously by provider (Exhibit 3). And for medical procedures, most of the variation often is found in the facility cost—not in the professional fees (Exhibit 4). This is another piece of very good news, since the quality of the outcome will be driven largely by the experience and capabilities of the professional performing the procedure, not by the room (facility) in which the procedure is performed.

Taken together, these facts mean that an employer and its employees can save significantly when they shop for non-emergency services, and choose good quality and low cost facilities. In the case of the colonoscopy example illustrated in Exhibit 4 the savings can be more than 70 percent.

To capture this value, Safeway uses robust transparency tools that enable learning about medical conditions and treatment alternatives and create an intuitive online shopping experience for members. Safeway also applies reference pricing to motivate smart behavior.

Safeway employees are both engaged in their medical decisions, and accountable for them. That’s what the company means when it says the Safeway plan creates a real health care market. The results have been impressive.

In pharmacy Safeway has moved well beyond the traditional three-tier formulary and has trimmed 20 percent of its total Rx spend. In medical the company is rolling out transparency and reference pricing to more than 1,500 procedures and expects to save well over 10 percent of total medical spend. Safeway is currently on track to achieve this goal.

Safeway HealthSafeway Health was

formed to assist other companies and organi-zations to achieve the same results Safeway has experienced—dramati-cally lower and stable per capita costs, and health-ier employees and fam-ily members. As one of Safeway Health’s clients remarked, “It’s amazingly straightforward. When people start acting health-ier, they really become healthier. Then they require fewer health care services, and our health care costs go down.”

Safeway Health cli-ents are self-insured, have at least 7,500 employees covered by their health care plans, and are com-mitted to take bold action, led from the top, to drive dramatic results. Safeway Health partners with cli-

ents to aid in motivating those companies’ employees to become healthier, fit, and hap-pier, while also saving the clients and their employees money on their health care costs.

Safeway Health’s innovative approach drives down clients’ costs by increasing personal accountability and utilizing market forces to create incentives for healthy behavior. Safeway Health provides complete analysis, plan design, employee communications, implementation and post-implementation review. Safeway Health also develops new programs at Safeway Inc. which serves as a beta site, and brings these new successful concepts to the client as part of continuous development and improvement.

“Our business model creates a true partnership with our clients, and the value we deliver is very high,” said Ken Shachmut, executive vice president, CFO of Safeway Health. “For an organization with 10,000 employees covered by traditional health care programs, Safeway Health has the potential to deliver all-inclusive five-year savings of $129 million, create an annuity savings beginning in the fifth year of $45 million, and create $408 million of incremental market value (Exhibit 5). For larger organizations the value delivered is much higher (Exhibit 6).”

One might ask, “Why is it that a grocery retailer can do what my own advisors and benefit team have not done for me to date?”

The answer is that Safeway is comprised of operators, used to resolving tough, interrelated operating challenges in a very competitive retail environment with thin profit margins. Safeway applied the operator’s mindset, coupled with its legendary expertise in enterprise-wide cost control to health care with unmatched results.

Safeway Health now is helping other companies do the same.

As one of Safeway’s top female executives, Larree Renda is responsible for all retail strategies and a broad range of administrative functions for one of the largest food and drug retailers in North America. Her responsibilities include retail strategy, labor relations, public affairs, government relations, health initiatives, human resources, corporate social responsibility and sustainability, industrial engineering, reengineering, and communications. Along with her other responsibilities, she is the newly appointed President of Safeway Health Inc., a business venture created to provide assistance to other companies in their efforts to create a culture of healthy and better health options for their employees. Renda began her Safeway career in 1974 at the age of 16. She progressed through Safeway’s retail ranks and earned the distinction of being the youngest store manager, district manager and retail operations manager in Safeway’s 80-year history.


total PoPulation HealtH

For more than 30 years, health and wellness have been priorities at Lincoln Industries, a manufacturer specializing in high-performance metal fi nishing. In the 1970s, one of the company’s early steps was

to hire an on-site occupational health nurse. On-site services have since grown to include health screenings, fi tness and education classes, Weight Watchers meetings, weekly wellness events, and an on-site clinic opening in August 2011. Perhaps even more dramatic has been Lincoln’s expansion of focus: from supporting physical health to measuring and supporting overall well-being.

Lincoln Industries President Hank Orme credits Chairman and CEO Marc LeBaron with a long-held belief in a broad picture of health and its importance to the company.

“He believed that if people embraced lifestyles that created healthier well-being, that naturally those people would be happier, more satisfi ed, and therefore more productive at work,” Orme said.

When Orme joined Lincoln a dozen years ago, the two executives discussed hiring someone to take this vision to a higher level—to “supercharge wellness.” Tonya Vyhlidal joined the company in 1999. Her

title, Wellness, Safety, and Life Enhancement Director, hints at the scope of Lincoln’s current go! Platinum wellness program.

“We’ve shift ed our focus from the traditional ‘it’s about nutrition, it’s about physical fi tness,’” Vyhlidal said. “It’s about being a human being and how to live life to the fullest.”

Among Lincoln’s recent innovations is the introduction of the Healthways Well-Being Assessment™ (WBA). Th e WBA is a tool for assessing overall well-being within organizations based on survey fi ndings from the Gallup-Healthways Well-Being Index®, launched in January 2008. Lincoln was among the fi rst organizations to use the WBA. Th e idea took shape through the involvement of both organizations in the Health Enhancement Research Organization (HERO), a not-for-profi t group with a focus on employee health management.

Researching the Impact of Wellness Programs on Small Business

Orme and Healthways Chief Wellness Offi cer John Harris are both members of HERO’s Board of Directors. In 2008, creating a research agenda to fi ll noted gaps in employee health management, HERO

sought to conduct a peer-reviewed study on the impact of wellness programs on a small business.

Lincoln Industries employs about 500 people in Lincoln, Neb. and has a track record of recognition and awards in the wellness arena, including the C. Everett Koop National Health Award (2008).

“Our relationship with Healthways started with the research project and ended up being a partnership and a collaboration,” Vyhlidal explained. “We’ve really built some synergy.”

Both organizations had done work to defi ne the elements beyond physical health that aff ect human health and performance. In its fi scal year 2007-2008, Lincoln Industries introduced the “Wellness Wheel,” an over-view of the integrated parts of human life that calls out physical, emotional, social, intellec-tual, spiritual, and occupational wellness.

In developing the Well-Being Index to assess overall well-being across communities and nations, Healthways merged decades of clinical research and the work of noted experts to defi ne and track the key factors that drive well-being. Th e Index and Well-Being Assessment measure six domains of well-being: life evaluation, emotional health, physical health, healthy behaviors, work environment, and basic access. Th e WBA also includes specifi c measures of productivity and individual health risk.

“Our wellness program is really a comprehensive program about all the diff erent parts of the individual, and that’s

Measuring and Supporting Overall

Well-being atLincoln Industries

BY niKKi duggan, OPERATIONS, ANALYTICS, HealtHWaYs

Save thedateSto learn more about FORUM east and West, visit www.cdhcsolutionsforum.com.



what the Well-Being Assessment measures,” Vyhlidal said.

Understanding Connections, Demonstrating Impact

Lincoln Industries had previously used assessment tools within its population, including the Human Resources Institute’s Health Culture Audit and the University of Michigan’s Health Risk Assessment.

“The WBA allowed us to take a bigger snapshot of our organization and how wellness integrates and affects everything within the culture of the company,” Vyhlidal said. “It showed us many things that we already had an intuition about, but could not capture in our current health assessment.”

Vyhlidal cited the connection between how an individual per-ceives the future and overall well-being, something the WBA shows. She noted the importance of access to care—how an individual’s financial situation or location can affect their use of health and wellness resources. The WBA also has provided insight into elements of workplace interac-tion and how employees view the company’s support for their well-being.

Though the impetus for its wellness programming has never been financial return, Lincoln Industries has measured the results of its program investments for a number of years. Wellness objectives are included in every level of business strategy, from the long-term, 10-year plan to the annual operational plan, to individual performance objectives.

“To be part of the business strategy, you have to show impact on the bottom line,” Vyhlidal said.

The company benchmarks its health care costs per person against regional employers in the industry and is proud of coming in about 30 percent lower. Management esti-mates that wellness programs deliver an over-all ROI of 5:1 and save about $2 million per year, in part through reductions in workers

compensation insurance rates. Since 2004, the company has shrunk tobacco use among its personnel from 42 to 15 percent. Workers compensation costs have dropped by hun-dreds of thousands.

The HERO study, published February 2011 in the Journal of Occupational & Environmental Medicine, evaluated wellness participation and risk data at Lincoln Industries across three program years. It found evidence of high levels of participation in key program components—from 57 to 99 percent—and significant improvements in percent body fat, body weight, blood pressure, and flexibility among participants.

“We believe our biggest savings opportunity is the savings around peoples’ attitude and productivity and the quality of the work they do…the whole idea of presenteeism,” Orme said. “That’s clearly

reinforced through the Healthways Well-Being Assessment. There is no question in our minds.”

A Healthways analysis of Lincoln’s WBA data demonstrated a quantifiable connection between overall well-being and multiple measures of performance and productivity. Having a 10-point higher overall well-being (with well-being scored from 0 to 100) was associated with:

n Five percent fewer unscheduled absences

n Twenty-four percent lower presentee-ism

n Five percent higher reported job performance (recalling the most recent performance review) and 4 percent higher self-rated job performance

n Six percent more days of “best work” in a 28-day period.

Our wellness program is really a comprehensive program about all the

different parts of the individual, and that’s what the Well-Being

Assessment measures.

Lincoln Industries employees are held accountable to participating in a wellness and well-being program. As an incentive, 78 employees earned a company-paid trip to Colorado to hike a 14,000-foot mountain.

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Driving ChangeOn an organization-wide basis, the

WBA drives how the company evaluates and communicates program successes and opportunities.

“The track we’re on is to listen very carefully to the things we find from our well-being survey and act appropriately to improve our well-being,” Orme said. “That’s a huge benefit for Lincoln Industries.”

The WBA allows Lincoln Industries to benchmark its well-being against Well-Being Index data for the city, state, and nation. Across all domains, the company’s scores compare favorably to those benchmarks. However, more detailed measures reveal potential improvement opportunities. Department-level metrics help Business Unit management within Lincoln Industries identify differences and view correlations between well-being scores and performance.

“Our people appreciate that we’re taking a comprehensive perspective on wellness,” Vyhlidal noted. “They realize that we’re not just saying it. We’re actually evaluating it via a tool that supports our efforts and what our message is. They know that this guides our practices for improvement.”

Individual WBA results drive other aspects of go! Platinum. Through Healthways, Lincoln Industries offers health coaching to improve behaviors like healthy eating, physi-cal activity, stress management, and self-man-agement of chronic conditions. Healthways QuitNet® tobacco cessation program, with online support, social support, phone coach-ing, and nicotine replacement therapy, also is available to Lincoln Industries personnel.

Outreach may be triggered by WBA responses or health screening data. Employees also are encouraged to enroll in health coaching based on personal interest.

The WBA is currently offered twice per year, and employees may use individual data to assess their progress on personal performance objectives. Between 5 and 25 percent of every person’s annual performance score at Lincoln is linked to his or her personal wellness objectives. Examples include reducing body weight by 25 percent, improving blood pressure to normative standards, getting a physical or starting a regular exercise plan. Improving work/life balance is another common objective.

“We hold people accountable to wellness and well-being on their performance objectives. One hundred percent of the

population has a wellness objective,” Vyhlidal said. “Ninety percent of the population participates in at least some level of wellness programming.”

Planning With PurposeAnother example of Lincoln’s

comprehensive approach to well-being is a course it offers called Life Plan. Life Plan grew from the company’s experience with the WBA, work on its Wellness Wheel, and the personal experience of Dan Krick, vice president of HR at Lincoln Industries.

Krick and his wife had been exploring the idea of defining a personal mission and purpose for themselves. The Life Plan class was ultimately designed to help others do that, looking at all the elements of well-being.

Over seven weeks, meeting for an hour once per week, participants work individually and through group activities to define a personal purpose and related goals within each area of well-being.

Jodi Wacker, a member of the HR team at Lincoln Industries, facilitates the class and experienced a big personal impact herself from participating.

“I have more focus on what I really want to do,” Wacker said. “Once I figured out what my purpose was, all of my other areas kind of fell into place. It keeps me grounded on what I am working on and what’s important.”

Wacker has found the participants she’s worked with are equally excited about the class and its results: “You see the light bulb go off: these things are all connected. People are passing [class materials] along and encouraging others to sign up next time.”

Bringing People Together— and to New Heights

The go! Platinum program frequently emphasizes togetherness, supporting social wellness. On Wellness Wednesdays, workers participate in a variety of events, from gardening to yoga. The popular annual Poker Walk engages people in moving together and building winning poker hands along a one-mile course.

Based on their involvement in go! Platinum, every employee is eligible for one exceptional team experience: climbing to the top of a 14,000-foot mountain in Colorado on a company-paid trip.

Qualifying for the trip requires reaching the platinum level of the program (beyond

bronze, silver, and gold). Criteria include participation in program activities, health metrics, and work and safety behavior.

Last year 78 Lincoln Industries personnel made the climb, and every one of them reached the summit. At the celebration that follows, every participant shares a few personal thoughts. People have talked about losing more than 80 pounds, quitting smoking, and getting back in shape at the age of 49.

“Some of the stories we’ve heard are incredible,” Orme said. “I almost get choked up.”

A Cultural CommitmentVyhlidal considers leadership support to

be a critical piece of the wellness program’s success. Management made a visible commitment to wellness and healthy lifestyles in 2004 by incorporating a statement into its core “Beliefs and Success Drivers.” They’re intended to guide all of Lincoln Industries relationships and business decisions and have never otherwise been changed since their introduction 14 years ago.

“We don’t view our wellness program as simply a benefit for our people,” Vyhlidal said. “Our goal is to continue to grow our business and we will build our wellness programs to support that growth. With high overall well-being, you are going to have happier people, thriving teams, and a thriving company.”

Trying to reach everyone is something Lincoln Industries works toward on a daily basis.

“Usually people are magnetized by what we do. Some people may feel like things are too personal,” she said. “We try to manage around that—to find a way to get to everyone.”

On an ongoing basis, the company collaborates with partners like Healthways and considers input from a company-wide wellness committee and beyond.

“There are always new ideas and leading-edge activities and opportunities,” Vyhlidal said. “We continue to be forth-right. We continue to apply practices that are evidence-based…to look at what our data is show-ing us. We try to build that magic formula.”


Access to Affordable Health Care is in the Cards

WellCard Health™ provides Americans easy access to affordable health care services. Founded

in 2007, WellCard Health is a discount card that provides savings up to 80 percent on doctor visits,

prescription drugs, dental care, lab and imaging services, and more. The network of participating

providers covers all 50 states and includes hundreds of thousands of approved providers.

The WellCard Health Discount Card is available to everyone. It is especially beneficial to families

who are uninsured or underinsured. The card provides benefits for services not covered by other

plans. There is no cost for the WellCard Health Discount Card and there are no limits or expiration

date. When members use the WellCard Health Discount Card, they are given deeply discounted rates

at the time of purchase. There is no paperwork to fill out and no reimbursement to administer.

WellCard Health is a joint venture between WellDyne® Inc. and Competitive Health Inc. WellDyne

has been in the health services business for more than 20 years and operates out of regional offices in

Colorado and Florida. Competitive Health has been an industry leader in managing health information

since 1996 and is headquartered in California. The partnership between the two companies is providing

an innovative solution to the rising costs of health care.

INNOVATION SHOWCASE


CDHC Solutions introduces a new feature called “Innovation Showcase.”

This is where leading Innovators have the opportunity to share innovations they have produced that are enhancing health care

consumerism and inspiring employers to better educate and inform their employee population to become better consumers

of health care. These solutions can be through better health benefits offering, education and communication programs,

health and wellness programs, pharmacy benefit management programs, rewards and incentives, transparency solutions and

offering supplemental health benefits.

Changing the Health Care Conversation

866-529-6521www.wellcardhealth.com

MedicalPrescription

DentalVision

Tele-Medicine







S E T A N D S U R P A S S

Reaching Wellness Goals With a Healthy Dose of Incentives

� e Problem: Maintaining MotivationHealth and wellness continues to be a signi� cant goal for innovative companies. However, garnering

participation for workplace wellness can be a daunting task. Beyond a supportive approach, how can program managers keep employees motivated along each step of the way toward be� er health?

� e Solution: Get Pumped Up With IncentivesInspiration doesn’t have to be big to carry weight in a wellness initiative. � e power of a gi� card incentive

could be more signi� cant to participants’ behavior than you think. Gi� card incentives allow you to recognize and reward lifestyle changes like healthier diets and � tness improvements. Best Buy Gi� Cards, for example, amplify your appreciation by adding to the value of wellness. An incentive is one more reason, beyond an improvement in health, for participants to actively continue and engage in a program. Whether facing demanding objectives or a low budget, incentives can help you boost interest and enthusiasm from start to � nish.

Nonetheless, the role of rewards in motivating participants makes choosing the right incentive key to wellness success. In most cases, but especially when dealing with health and wellness, the incentive should reinforce the goals of the program. Best Buy Gi� Cards allow recipients to choose their own rewards that encourage fun, play and an active lifestyle. From movement-based game consoles to MP3 players and heart rate monitors, Best Buy Gi� Cards put the reward of play right in the hands of your recipients. A truly meaningful incentive not only moves employees to action, it encourages them to continually improve their habits and choose healthier behavior.

Pace Your IncentivesO� ering a grand prize is a great way to generate interest in the beginning, but rewarding smaller goals

along the way can keep employees engaged. Gi� cards can motivate employees and members to continue participating in a wellness program weeks into it. Many companies choose gi� cards as an added bene� t of joining a smoking cessation or weight loss program. An additional reason to participate, like a gi� card, has the ability to continue the journey toward healthier living.

� is form of encouragement shows your support and appreciation while promoting persistence. Gi� cards also allow recipients to choose the reward that motivates them, and continues to remind them of success. � is “trophy value” of a gi� card lets your employees remember and feel proud of their accomplishment each time they use the product redeemed from their reward.

Easy to Use, Easy to EnjoyUltimately, the incentive you choose should be as rewarding for you as it is for the recipient. Best Buy Gi�

Card Incentives are easy to give and easy to use. Best Buy ful� lls orders quickly and o� ers multiple shipping options. Visit CorporateGi� Cards.BestBuy.com for more information on how to qualify for free shipping and discounts. Best Buy Gi� Cards have no expiration date, no dormancy fees and the cards retain their full balance until used.

When designing your wellness program, include incentives that support healthy behavior and reward goal reaching. Whether your organization’s goal is to increase employee engagement or lower their cholesterol, gi� cards as incentives provide one more reason to be healthy. � ey are a way to further exemplify your support and encouragement.

Visit CorporateGiftCards.BestBuy.com or call (877) 370-1234.

INNOVATION SHOWCASE








All Pharmacy Benefits Management companies are not the same. Envision Pharmaceutical Services is truly as different from other PBMs as an apple is to an orange. Are you getting what you expect from your PBM? Is your PBM telling you that it’s an apple when it is really an orange?

With Envisions’s Transparent 100% pass-through and fully auditable business model, an apple is truly an apple.

Envision’s guiding philosophy is simple – focus on quality, safety and lowest net cost for our clients. We contractually guarantee 100% pass-through on all pharmaceutical manufacturer rebates, administration fees and pharmacy network discounts to the plan sponsor at the point of sale.

We offer PBM solutions for health plans, hospital systems, employer groups (ERISA), Taft-Hartley Funds, government agencies, prescription savings program sponsors for the uninsured, and others. We have expertise in Medicare Part D administration, including Retiree Drug Subsidy (RDS) and Employer Group Waiver Plans (EGWP). We offer PBM services for one flat management fee.

Learn Why Envision is at the Core of Pharmacy Benefits.

For details, visit www.envisionrx.com or call 1-800-361-4542.

Providing Complete Transparency, Full Disclosure Key in Choosing Best PBM

Envision Pharmaceutical Services was created in 2001 by experienced and knowledgeable managed care and pharmacy bene� t professionals who wanted to lead the industry in a new direction and provide complete transparency with full disclosure and point-of-sale rebate technology.

Envision is the only PBM that contractually guarantees 100 percent of all pharmaceutical manufacturer rebates (access, volume and incentive) and discounts will be passed back to the employer/payer at the point-of-sale. Any market share rebates earned through formulary compliance are forwarded to the employer/payer when they are received from the manufacturer.

Envision Pharmaceutical knows there are six critical areas in which the choice of the right pharmacy bene� t management (PBM) company can make a signi� cant di� erence for plan sponsors.

■ The first is driving a lower-cost drug mix whenever possible. For every one percent increase in the generic fill rate, there is a corresponding one percent or more decrease in plan cost.

■ A PBM should maximize therapy adherence in key drug classes. This is critical to sustaining the member’s health and preventing serious and costly medical problems.

■ PBM should also encourage the greatest use of the most cost-effective delivery channel.■ Ensuring uncompromising safety.■ Promoting home delivery because home delivery is a “gateway” behavior that leads to other outcomes plan sponsors

care about: better drug mix, improved therapy adherence, higher dispensing accuracy and greater member satisfaction.

■ And finally, a PBM should ensure that members are engaged and satisfied with the benefit plan. When members are engaged, they are more likely to read communications, participate in educational programs, and respond to calls to action.

Envision’s Business Model:� e methodology that Envision developed to administer their point of sale rebate program is currently patent-pending

and under review by the U.S. Patent O� ce. Envision does not accept disease management or educational grants from pharmaceutical manufacturers or sell client data. Envision’s goal is to link the employer or payer directly to the manufacturer or other provider to obtain such services. � is strategy ensures that 100 percent of all funds for these special programs are used for the bene� t of the payer and eliminates Envision from retaining any fees currently collected by traditional PBMs.

Envision charges a � at fee, per employee (including dependents) per month for all services rendered. � is clarity and transparency in pricing makes Envision unique in the PBM industry. � eir mission statement is: “Envision will continue to lead the industry in a new direction through innovation, superior products, service and quality and stay positioned at the forefront of change in the PBM industry.”

� e Envision business model has received a “preferred vendor” endorsement from the National Business Coalition on Health (NBCH), and has been awarded dual certi� cation from the Utilization Review Accreditation Commission (URAC). � e accreditation process involved a thorough examination of Envision’s practices and policies and an on-site veri� cation process.

Envision was approved as a Medicare Drug Discount Card provider for CMS in 2004 and approved to be a Prescription Drug Provider for Medicare Part D in 2007 through its a� liated company, Envision Insurance Company Inc. Envision currently provides Part D bene� ts management and reporting for several Medicare Advantage Drug Plans and Employer Group Waiver Drug Plans (EGWP) and is fully compliant with all CMS reporting requirements. Additionally, Envision Insurance Company provides individuals with a Medicare Part D Prescription Drug Plan available nationally.

Envision internally manages all of the Pharmacy Bene� t Management (PBM) functions needed by a client. Services are provided on a per employee per month (PEPM) administrative fee basis and includes:

■ Implementation■ Benefit Design■ Enrollment and Eligibility■ Retail, Mail Order, and Specialty Provider Network Contracting■ Drug Utilization Review

INNOVATION SHOWCASE


TRANSPARENCYAll Pharmacy Benefits Management companies are not the same. Envision Pharmaceutical Services is truly as different from other PBMs as an apple is to an orange. Are you getting what you expect from your PBM? Is your PBM telling you that it’s an apple when it is really an orange?

With Envisions’s Transparent 100% pass-through and fully auditable business model, an apple is truly an apple.

Envision’s guiding philosophy is simple – focus on quality, safety and lowest net cost for our clients. We contractually guarantee 100% pass-through on all pharmaceutical manufacturer rebates, administration fees and pharmacy network discounts to the plan sponsor at the point of sale.

We offer PBM solutions for health plans, hospital systems, employer groups (ERISA), Taft-Hartley Funds, government agencies, prescription savings program sponsors for the uninsured, and others. We have expertise in Medicare Part D administration, including Retiree Drug Subsidy (RDS) and Employer Group Waiver Plans (EGWP). We offer PBM services for one flat management fee.

Learn Why Envision is at the Core of Pharmacy Benefits.

For details, visit www.envisionrx.com or call 1-800-361-4542.


Health care spending in the United States has reached unprecedent-ed proportions, threatening to further derail financial stability and impede economic recovery. Today, employers who provide insur-

ance coverage to more than157 million people sustain much of that burden. Employee benefit plans, which proliferated in the 1940s and 1950s as

an employee incentive, have now become an expectation of employment and employers are the principal source of health insurance in the United States. While these programs have traditionally offered benefits to both employees and employers, rising costs have slowly diminished these ben-efits and substantially impacted budgets and bottom lines.

So what, if anything, can be done to help employers maintain cost-effective benefit programs without putting further strain on the employee’s wallet? For some innovative employers, the answers are in the data. The Needle in the Haystack

Today 80 percent of health care costs are generated by 20 percent of the population. Employers with cost-effective benefit programs understand that providing timely and preventive medical services to the sickest segment of the workforce is crucial to reducing costs. These organizations use clinical analytics to quantify the disease burden impacting health status and devise targeted care initiatives that support efficient population health management.

Health care risk, such as poorly managed chronic disease, will often lead to expensive and avoidable utilization. For example, a diabetic not taking required drugs, not visiting a physician, and not managing their weight, will eventually end up in the emergency room or be hospitalized.

Analyzing health care trends is essential to finding the needle in the haystack—the high risk, high cost employees in need of clinical intervention. Identifying this risk enables employers to better inform care management programs and take strategic and proactive action that leads to improved health and wellness.

Benefit Design With Your Workforce in MindTailoring programs specifically to the needs of the population is an

essential component of cost-effective benefit strategy. Innovative employ-ers monitor the drivers of health care costs and implement the specific ini-tiatives that have the greatest impact on outcomes. To maximize return on investment, these organizations offer the programs that would benefit their employees most and the incentives to drive healthy behavior changes.

It sounds simple enough, but effective benefit design requires accurate risk assessment to better visualize the impact of programs on future health and financial metrics. For example, when purchasing care management programs, employers must analyze the specific disease profile of their workforce and design initiatives to address the prevalent conditions likely to impact future costs. Similarly, these organizations need to assess wellness issues (i.e. obesity, smoking) that could aggravate disease or lead to expensive complications.

Additionally, employers must deploy risk assessment strategies to implement engagement initiatives focused on promoting healthier

lifestyles and optimizing management of conditions. For example, benefit administrators could analyze gaps in clinical care associated with their workforce to pinpoint low compliance to medical guidelines (i.e. such as diabetics not refilling prescriptions or having an annual lipid profile). To reduce the risk of adverse clinical outcomes associated with these gaps, employers would then implement an incentive program focused on maximizing compliance—such as reducing or eliminating copayments associated with these prevalent conditions.

You Can’t Manage What You Don’t MeasureIt may be cliché, but this old saying rings true. Cost-effective health

care benefit programs require constant vigilance. Innovative employers consistently analyze trends to measure the

success or failure of programs—and use that knowledge to inform strategy and improve vendor contracting.

Effectively minimizing risk requires frequent evaluation of population health management and benefit design. Performance measurement is crucial to enabling employers to expand efficient programs and pinpoint those that drain resources and provide little incremental value.

For example, employers must evaluate the impact of care management programs on health, productivity, and costs. Analysis of absenteeism, hospitalizations, as well as use of preventive measures, emergency room and prescriptions associated with specific conditions can provide a detailed assessment of performance and identify areas of improvement.

What is Health Care Risk Costing You?A recent Towers Watson/National Business Group on Health report

found that in 2011, average health care costs per employee are expected to reach over $11,176, up from $10,387 in 2010. Projections of future costs tell a startling tale. According to the Centers for Medicare & Medicaid Services, spending will reach $4.6 trillion by 2019.

While this projection is steep and scary…it is just one variable. Employers with cost-effective health programs must measure the success of their initiatives on more than just cost control—after all, health care risk does much more than simply impact benefit budgets. Clinical conditions, unhealthy habits, and poor health management have a profound impact on productivity, safety, job satisfaction, as well as corporate innovation and profitability. A Brighter Future…

The key for employers to developing cost-effective benefit programs is finding opportunity in their data. The answers are there for those asking the right questions—What will happen next and what can we do about it now?

Mike Coyne, is the president of Verisk Health, a subsidiary of Verisk Analytics, that leverages health care data to help businesses understand their medical and financial risk for the purpose of managing costs and clinical outcomes more effectively. Verisk Health’s primary focus is to identify actionable risk management strategies at both the individual and population levels across the entire care continuum. For more information, please visit www.veriskhealth.com.

BY Mike CoYNePrESIdENT » VeRisk HeAltH

Ask tHe expeRt

Innovative Risk Management Strategies for Reducing Health Care Benefit Costs

HSA/HRA/FSA TecHnology: AdminiSTRATion & mAnAgemenT HSA/HRA/FSA TecHnology: AdminiSTRATion & mAnAgemenT

TSyS Healthcare®, provides end-to-end strategic payment solutions for consumer directed healthcare. We partner with benefits administrators, financial institutions and health plans and software providers to navigate all aspects of HSAs, HRAs, FSAs, cash reimbursements and lines of credit. TSYS Healthcare cards offer participants the security they expect along with the ability to conveniently access funds from multiple accounts and manage their benefits payments with simplified single-card access. Clients and partners benefit from simplified processes, reduced paperwork and cost savings that contribute to improved return on investment.

“We built the TSyS Healthcare platform to meet the market demand for reliable, configurable and intelligent solutions. Understanding the dynamic U.S. Healthcare market, our customers rely on our option-driven system to prepare them for the future. “

— Trey Jinks, Group Executive, TSYS Healthcare

TSyS HeAlTHcARe612.338.3871www.tsys.com/solutions/[email protected] established in 1998, AmeriFlex is an independent benefits administrator

providing technology-based, consumer-driven benefits and compliance solutions.

“At AmeriFlex, we are constantly looking for new ways to bring innovative and cost-effective payment solutions to the market in order to improve efficiency and simplify the delivery of healthcare products and services to all stakeholders.”

— William Short, President & CEO, AmeriFlex

AmeRiFlex302 Fellowship Road, Suite 100Mount Laurel, NJ 08054internal Sales Support:888.868.3539 (FLEX), option 4Proposals and marketing inquiries:[email protected]

n AmeriFlex convenience card® Consolidated FSA/HRA/HSA/CRA Debit Card Platform

n AmeriFlex convenience Sleeve Consolidated FSA/HRA/HSA Healthcare Payment Solution

n AmeriFlex convenience Portal Web-Based System for Streamlined Administration of CDHC Plans

n mongoose® Enterprise Class, Web-Based Solution for COBRA Administration

n ePoP Instant POP Plan Online Document Ordering

n invoice manager Paperless, Automated System for Group Claim Activity and Funding Administration

Access these profiles online at www.CDHCSolutionsMag.com and www.EmployersWeb.com

www.CDHCSolutionSMag.CoM Who’s Who Profiles

www.cdhcsolutionsmag.com i CDHC Solutions™ i July/August 2011 47

HSA / HRA / FSA AdminiSTRATion And FinAnce

evolution1 and its Partners serve more than seven million consumers, making it the nation’s largest electronic payment, on-premise and cloud computing healthcare solution that administers reimbursement accounts, including HSAs, HRAs, FSAs, VeBAs, Wellness and Transit Plans. It is the only solution that meets more than 1,200 unique plan designs, provides innovative auto-substantiation technologies, simplifies user experience, and automates workflow for Partners, employers, and consumers. It does all this on one technology platform comprised of Lighthouse1™, PayDirect®, the Benny® Prepaid Benefits Card, Lighthouse1 OneCard™ and integrated web portals. Evolution1 and its Partners are dedicated to delivering value, reducing costs and simplifying the business of healthcare.

eVolUTion1, [email protected]

“The combination of our innovative products will further our leadership position in a rapidly changing healthcare market. Together with our Partners we are committed to reducing costs and simplifying the business of healthcare.”

— Jeff Young Chairman and CEO, Evolution1

ToolS And TecHnology

liazon was founded in 2007 to tackle the myriad problems inherent in employee benefits for small and mid-sized employers. Liazon’s retail employee benefits solutions give employers a cost-saving defined contribution strategy for all benefits. Liazon’s Benefits Exchange™ is the online store where employees find, learn about and purchase health care and other insurance products.

“liazon’s Bright choices Benefits exchange is the online store where employees shop for their benefits. it brings an exciting new retail model to employee benefits that empowers benefits consumers and saves employers money. Think of it as the ‘amazon.com’ for employee benefits.”

— Ashok Subramanian, Co-founder and CEO, Liazon

liAzon737 Main Street, Suite 200Buffalo, NY716.803.6190 708 Third AvenueNew York, NY212.209.3836

www.liazon.com

www.CDHCSolutionSMag.CoMWho’s Who Profiles

Solutions to help your innovative health and benefit programs.

48 July/August 2011 i CDHC Solutions™ i www.cdhcsolutionsmag.com

Benefit Software inc. (BSi) is the leader in client satisfaction when it comes to helping organizations meet important benefits communications challenges for today’s diverse workforce. Offering web-based enrollment solutions, web-based or printed Total Rewards Statements, and PC-based Statement software, BSI helps thousands of organizations achieve complex enrollment and communications goals. With over thirty years of experience supporting mid-size to Fortune 500 businesses, BSI has gained insights into solving the most challenging benefits administration and communications challenges.

“if you can imagine a benefits enrollment or a benefits communication solution that will help your organization motivate and educate employees then Benefit Software can build that solution for you. We have 30 years of experience in delivering best-of-breed employee focused communications solutions. We look forward to helping you.”

— William Smith III, Head of Sales, Benefits Software

BeneFiT SoFTWARe inc.212 Cottage Grove AvenueSanta Barbara, CA 93101

[email protected]

ToolS And TecHnology

PoPUlATion HeAlTH And WellneSS

PATH is a dynamic health and productivity management program provider committed to redefining worksite wellness. PATH helps companies develop a comprehensive and cost-effective approach to reduce risks and manage healthcare costs. Our programs have earned unprecedented rates of success as demonstrated by the best sustained participation rate in the industry, and dramatic reductions in the cost of insurance claims and rates of insurance premiums for our clients.

“Based on more than 20 years of R&d, PATH is differentiated by its fun, fresh approach and easy-to-implement programs that have been lauded by both organizations and by program participants. PATH’s programs offer a suite of wellness strategies that integrate seamlessly with other wellness providers and existing employee benefits to deliver one co-branded Web-based platform for users.”

– Gillian Pieper, Co-Founder and Vice President, Research and Health Promotion, PATH

PATH79 River St. Suite 302Montpelier, VT 05602

[email protected]

PoPUlATion HeAlTH And WellneSS

Access these profiles online at www.CDHCSolutionsMag.com and www.EmployersWeb.com

www.CDHCSolutionSMag.CoM Who’s Who Profiles

www.cdhcsolutionsmag.com i CDHC Solutions™ i July/August 2011 49

dataPath, inc., is one of nation’s largest providers of cdH solutions specializing in account-based administration systems.

Since 1984, service providers using DataPath systems have provided administrative solutions for over 1 million participants of FSA, HRA, HSA, and COBRA. DataPath is the only solutions provider to design and deliver a full Suite of systems for handling 125, 105, 132, COBRA, HSAs, Credit and Debit Cards all delivered to account holders through a single Internet portal, myRSC.com.

“With the significant changes in healthcare today, our software solutions allow users to create custom plans for clients that benefit both the employer and employee. not only have we created a single platform for all systems with myRSc.com, with the integration of our mySourcecard® debit card at Wal-mart and other retailers, our clients are able to offer a hassle-free solution with 100% compliance.”

dATAPATH, inc.1601 WestPark Drive, Suite 9Little Rock, AR 72204

501.296.9990www.dpath.com

HSA/HRA/FSA TecHnology: AdminiSTRATion & mAnAgemenT

PRoFeSSionAl deVeloPmenT

The AHiP center for

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AHiP cenTeR FoR inSURAnce edUcATion And PRoFeSSionAl deVeloPmenT 601 Pennsylvania Ave., NWSouth Building, Suite 500Washington, D.C. 20004

800.509.4422www.AHIPInsuranceEducation.org

PHARmAceUTicAl BeneFiTS mAnAgemenT

envision Pharmaceutical Services, inc is a full service pharmacy benefits management company that delivers! We deliver because our business model is based on transparency and full disclosure, guaranteeing 100% pass through pricing of all pharmaceutical manufacturer rebates and administrative fees at the point-of-sale. Additionally, our affiliate, Envision Insurance Company, is a national Prescription Drug Plan which enables us to offer a variety of solutions for your retirees. Envision is truly a “different” PBM!

“envision is pleased to be recognized by its clients surveyed by the Pharmacy Benefits management institute for three consecutive years as the top performer in virtually every category evaluated. This solidifies our leadership position in providing transparency and full disclosure to the PBm marketplace while continuing to find innovative solutions.”

— Kevin M. Nagle, President & CEO, Envision Pharmaceutical Services/Rx Options

enViSion PHARmeceUTicAl SeRViceS, inc.John Ewell, EVP Marketing

[email protected]

SUPPlemenTAl HeAlTH BeneFiTS

employer direct Healthcare (edHc), is the next-generation healthcare solution designed to transform the way self-funded health plans purchase healthcare for their members. EDHC brings together the highest quality health care providers to offer services directly to the employer through its leading network, National Surgery Network (NSN). Due to its extensive provider network, NSN can offer employers 30-50% savings on planned medical procedures, potentially reducing total plan cost by 6-10%. EDHC is expanding its networks to include diagnostic, imaging, oncology, and more. EDHC is a privately held company headquartered in Austin, Texas.

“The most important issue facing self-funded health plans today is rising costs. employers can, and should be a catalyst for change in making their health plans more effective. When i bring together high quality providers and self-funded employers, everybody wins. employers are able to take control of their healthcare expenditures, offer the highest quality care and pass savings on to their employees.”

– Ken Erickson, CEO, Employer Direct Healthcare™

emPloyeR diRecT HeAlTHcARe™ 7320 N. Mopac EXPY, Suite 203Austin, Texas [email protected]

888.241.8537www.employerdirecthealthcare.com

50 July/August 2011 i CDHC Solutions™ i www.cdhcsolutionsmag.com

www.CDHCSolutionSMag.CoMWho’s Who Profiles

Solutions to help your innovative health and benefit programs.

If you use the services of our solutions providers, please tell them you saw their ad in CDHC Solutions™ or EmployersWeb.com™ magazine.Requests for Permissions to reuse content contact Copyright Clearance Center at [email protected].

advertising contacts

aetna ............................................................................. 9

acclaris ........................................................................19

aflac..............................................................................24

ahiP ..................................................................... 38, 49

allstate Benefits .......................inside Back Cover

ameriflex ...................................................................47

Benefits software...................................................48

Best Buy ........................................................26, 42-43

Bravo Wellness .......................................................34

cdhc solutions forUM West ..............13-17

cdhc superstars ..................................................... 7

cigna ............................................ inside Front Cover

dataPath ............................................................ 21, 49

dss research ...........................................................48

employer direct healthcare .............................49

envision Pharmaceutical services .....44-45, 49

fis healthcare solutions ....................................12

evolution1 .................................................................47

liazon ..........................................................................48

My hsa rewards ...................................................22

Path............................................................................48

Quest diagnostics.................................................... 5

tsYs healthcare ............................................ 10, 47

Unitedhealthcare ................................Back Cover

Welldyne ............................................................40-41

advertising index

404.671.9551

C E O / P u b L I S H E RDoug Field [email protected] · ext. 101

Associate PublisherBrent Macy [email protected] · ext. 103

Vice President of business DevelopmentSusan Yakots [email protected], ext. 102

Murray Kasmenn [email protected] 770.356.2342

business Development AssociatesRogers Beasley [email protected], ext. 109

David Cerri [email protected], ext. 106

ReprintsRogers Beasley [email protected], ext. 109

r e s o U r c e g U i d e

online exAmPle

How do you make your company and its solutions accessible to more than 60,000 health care benefits decision-makers, generate leads, and do so cost effectively? By participating in the industry’s only online, member-based networking community! new customer online market impact Program FieldMedia has developed a special online-only offer to help you create a leadership presence on our member-based Web communities—CDHC Solutions Online and EmployersWeb.com Online—and help you generate sales leads, gain leadership presence, and connect you to our buyers and members. Take advantage of our innovative online Who’s Who in consumer-directed Health care profiles and receive the complete bonus package including lead-generating eblasts.

call your Fm account rep 404.671.9551 or email at [email protected] out the active online Who’s Who Profiles at www.cdhcsolutionsmag.com.

effective print and online opportunity to put your company, its solutions, and your chief sales executive

in front of 60,000 print and online prospects.

LEO BURNETT U.S.A.A DIVISION OF LEO BURNETT COMPANY, INC.

Ad/ID No. AHFP0232 – Job No. 610-ALALFNP1001 – Allstate “Complete” Ad – 4C – (T 7.875" x 10.5") – 2011

101506d_AS_232_Complete_Mag_a02.indd

Printed in the U.S.A.

AD: G. Nobles PSM: B. Dolnick

Allstate • “Complete” Ad • CDHC Solutions • 4C • Ad# AHFP0232

101506d_AS_232_Complete_Mag_a02.indd

LeoBurnett/Allstate/101506

Allstate Financial Benefi ts Print Ads

PM: Barnes

Operator: EZ 05/04/11_4:05pm STUDIONEDIGITAL

What’s Missing From Your Benefi ts Program? Allstate Benefi ts. The partner who’ll keep employees covered in today’s

changing benefi ts environment. And, with the #1 critical illness product

in America, it’s no wonder we’re one of the fastest-growing benefi ts

providers in the country. Call an Allstate Benefi ts Representative today

and let the Good Hands go to work for you.

1-866-895-8677

or allstateatwork.com

You’re in Good Hands.®

Life • Disability • Critical Illness • Accident • Medical Gap

Allstate Benefi ts Internal Data 2010; LIMRA. Allstate Benefi ts is the marketing name used by American Heritage Life Insurance Company (Home Offi ce, Jacksonville, FL), a subsidiary of The Allstate

Corporation. © 2011 Allstate Insurance Company. www.allstate.com or www.allstateatwork.com

10.5

" Tri

m

7.875" Trim

11.3

33"

Ble

ed

8.833" Bleed

9.5

" Liv

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6.833" Live

Scale: 1" = 1"

UnitedHealthcare’s industry-leading consumer-driven health (CDH) plans were designed to get employees on the path to good health with improved lifestyle habits and use of the health care system. Th at’s why our plans off er:

• 100% preventive coverage and personalized messaging based on individual health care needs

• Easy-to-use resources for employees, including treatment cost estimators, Quicken HealthSM Expense Tracker, and Health Care LaneSM to help members understand and maximize their health care benefi ts

• Banking through our own OptumHealth Bank, Member of the FDIC, off ering integrated access to account balances and a debit card that makes payments easier

Tools like these help employees become active in their own health care decisions. We also off er the employer ready-to-use tools to implement and successfully maintain its consumer-driven health plans.

For more information on UnitedHealthcare’s CDH plans, visit uhctogether.com/CDH or call 1.866.438.5651.

©2011 United HealthCare Services, Inc. Insurance coverage provided by or through UnitedHealthcare Insurance Company or its affi liates. Administrative services provided by or through UnitedHealthcare Insurance Company, United HealthCare Services, Inc. or their affi liates. Health plan coverage provided by or through a UnitedHealthcare company.

UHCEW506202-001

Grow Healthy.

Engaging consumers to make informed health care decisions

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