Employers to use negative incentives on healthcare

Workforce:
More employers are planning to use financial penalties to motivate their employees to participate in corporate-sponsored health and wellness programs, according to a recent survey published by Lincolnshire, Illinois-based Aon Hewitt.

The survey reports 83 percent of employers offer incentives for participation in health and wellness programs, such as health risk questionnaires, biometric screenings and smoking cessation programs. Among that group of employers, only 5 percent exclusively use health insurance premium increases or penalties, while 16 percent offer a mix of rewards and penalties. Seventy-nine percent of employers only use awards like premium discounts, cash or gift cards to encourage participation in health and wellness programs, according to the survey, which is due out in April.

But the percentage of employers who use penalties is expected to increase. According to the survey, 58 percent of employers indicated they intend to impose penalties on employees who "do not take appropriate actions for improving their health" in the next three to five years.

Additionally, the percentage of employers who tie financial incentives to specific health management goals is expected to increase as well, the report says. About 24 percent of employers currently offer rewards for employees who achieve healthy blood pressure, body mass index, blood sugar and cholesterol levels, while 66 percent are considering offering similar incentives during the next few years, according Aon's findings.

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This seems a little big brotherish, but it is a way of controlling cost that effect their ability to provide healthcare.  It is also a way of finding health issues before they reach critical stages.  It may even saves lives.

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