When employers practice prevention with its employee population, health care costs can be reduced in as little as one year, especially among those with chronic illnesses, according to a recent study from StayWell Health Management and Towers Watson.

"This is one of the first multi-employer studies to explore the specific timing of changes in health care costs related to increases or decreases in health risks," says Jessica Grossmeier, vice president of research at StayWell Health Management and a co-author of the study. "The research supports a greater focus on prevention and wellness. It also can help employers better estimate the short-term financial impact of changes in individual and population health risks."

While earlier research has connected health risks with higher health care costs and improving health can lead to positive return on investment in the long term, few studies have focused on how soon cost savings become apparent along with the relative cost impact of health risk accumulation in opposition to health risk reduction.

Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.

  • Critical BenefitsPRO information including cutting edge post-reform success strategies, access to educational webcasts and videos, resources from industry leaders, and informative Newsletters.
  • Exclusive discounts on ALM, BenefitsPRO magazine and BenefitsPRO.com events
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.