Congress Plans Incentives for Employers That Offer Wellness Programs

Congress Plans Incentives for Employers That Offer Wellness Programs

By ROBERT PEAR
Published: May 9, 2009


WASHINGTON — In its effort to overhaul health care, Congress is planning to give employers sweeping new authority to reward employees for healthy behavior, including better diet, more exercise, weight loss and smoking cessation.

A web of federal rules limits what employers and insurers can do now.

Congress is seriously considering proposals to provide tax credits or other subsidies to employers who offer wellness programs that meet federal criteria. In addition, lawmakers said they would make it easier for employers to use financial rewards or penalties to promote healthy behavior among employees.

Two Democratic senators working on comprehensive health legislation, Max Baucus of Montana, the chairman of the Finance Committee, and Tom Harkin of Iowa, have taken the lead in devising such incentives.

“Prevention and wellness should be a centerpiece of health care reform,” said Mr. Harkin, who regularly climbs the stairs to his seventh-floor office on Capitol Hill.

more...

http://www.nytimes.com/2009/05/10/health/policy/10health.html?hpw

"In addition, lawmakers said they would make it easier for employers to use financial rewards or penalties to promote healthy behavior among employees."

who will fire his employees if they don't quit smoking...

http://www.clickorlando.com/news/14537611/detail.html

I do think it is a good idea to reward employers for offering wellness programs, but I don't think having penalties is appropriate.

than do penalties.

Wellness programs work IF the employee also has coverage that allows them to see their doctor when the need to. The don't work as well when an employer is only offering employees high deductible insurance or HSAs.

Wellness programs that target maintenance as well as prevention will admit that for employees who already have conditions like diabetes the pharmacy and clinic visits costs may go up - but ER and inpatient claims will go down (this does result in major savings). BUT if the employer is offering one of those "consumer based" health insurance plans it doesn't matter what the wellness program does. If the employees don't feel they can afford the preventative or maintenance care inpatient and ER claims go up and inpatient stays will be longer and everyone winds up paying more and the employee gets sicker.

It was voluntary and I didn't participate. But one of my co-workers did and she lost 55 pounds.

They put you on a team and you earn points for weight loss and exercise hours, etc. You get a trainer and a nutritionist. The winning team wins a cruise.

So a group of us is going to do it next year.

do you still get to cruise?

You can also earn points for exercising.

American People.