Archive for the ‘Reducing Healthcare Costs’ Category
Curbing Obesity Epidemic Key to Health Care Reform
A diverse alliance of payer, provider and consumer organizations, girded by two former U.S. Surgeons General, on Wednesday urged policymakers to address the nation’s obesity epidemic as part of federal health care reform legislation.
“At this critical juncture where we’re dealing with health-care transformation, we want to make sure that the federal government and our elected leaders recognize the importance of including approaches to obesity that are evidence-based and proven within their legislative strategy,” former Surgeon General Dr. Richard Carmona told reporters during a media briefing.
Carmona serves as the health and wellness chairperson of the Strategies to Overcome and Prevent (STOP) Obesity Alliance, whose steering committee includes the American Diabetes Association, American Heart Association and the U.S. Centers for Disease Control and Prevention’s Division of Nutrition, Physical Activity and Obesity, among other public and private organizations.
The alliance is funded by drug makers Sanofi-Aventis U.S. L.L.C. and Amylin Pharmaceuticals.
Former Surgeon General Dr. David Satcher, whose 2001 report on obesity recognized the problem as an “epidemic,” emphasized the need to invest in health promotion and disease prevention, particularly for the health of the nation’s youth.
“We are in essence addicting our children to sedentary lifestyles; we’re addicting them to high-salt, high-sweet, high-fat diets,” he said, “and then we pay for it later on when they come to us with cancer, heart disease, [and] diabetes.”
America’s weight problem is pervasive. Two-thirds of the population is now overweight and obese, according to the CDC, and as many as 72 million adults are considered obese. In fact, obesity rates have doubled for adults and tripled for children since 1980.
People often see obesity as a personal failure, explained Christine C. Ferguson, director of the alliance and a research professor at George Washington University School of Public Health and Health Services, in Washington, D.C. “The result is the problem has gotten worse and worse, and more and more expensive.”
Obesity accounts for 9.1 percent of annual health-care spending in the United States, or nearly $150 billion annually, according to a study in a recent issue of Health Affairs.
To help arrest the epidemic, the alliance urges policymakers to include four specific elements in health reform:
- Recognize proven clinical interventions. Studies demonstrate, for example, that shedding just 5 percent to 10 percent of body weight can lower the risk of heart disease and other chronic conditions.
- Enhance the use of preventive services. The U.S. Preventive Services Task Force recommends obesity screening for all adults, yet studies show height and weight data often is not recorded during an office visit.
- Foster community programs and polices that encourage and support healthy lifestyles. A community might design public spaces that accommodate walkers and bikers, for example, or sponsor a farmer’s market to make fresh produce available to local residents.
- Coordinate research efforts to improve the quality of care, show which interventions work in various settings and translate science into practice.
Morgan Downey, the alliance’s policy adviser, noted one positive aspect of health reform proposals from the House of Representatives and Senate Health, Education, Labor and Pensions Committee: They eliminate the worry that overweight Americans might not be able to obtain health insurance coverage because of preexisting health conditions.
“Just the removal of that language really frees up individuals who are overweight or obese to have access to health insurance,” he said.
The Cornerstone of Our Employee Health Strategy – You

In case you haven’t noticed, the cost of health care continues to rise. Small businesses are seeing their profits consumed by higher insurance premiums and individual claims costs. Like many small
businesses, your organization has turned to worksite wellness to help you develop healthy behaviors and lower your risk of developing a chronic disease.
Having a healthier workforce will lower direct costs like insurance premiums and worker’s compensation claims. It will also positively impact many indirect costs such as absenteeism and low
worker productivity. What does that have to do with you? That ultimately means more money in YOUR pocket!
Our health and wellness programs are your key to optimizing your fitness, dietary, and wellness goals. You now have the power to proactively regain control and transform your life. Whether you are a first time user or already a member, you’ll have access to some of the most extensive array of interactive tools and resources.
Below are some of the programs that are automatically included in your organization’s wellness program.
- EXERCISE & NUTRITION EDUCATION
- ON-LINE WELLNESS PROGRAMS
- WELLNESS COACHING
- WEIGHT MANAGEMENT
- INDIVIDUAL & GROUP FITNESS
- WELLNESS SEMINARS & WORKSHOPS
- SMOKING CESSATION PROGRAMS
- HEALTH SCREENINGS
- STRESS REDUCTION
Emergency Influenza Containment Act May Make Paid Sick Leave Mandatory
They are at it again. The government now is trying to decide whether or not to guarantee a maximum of five paid sick days for employees sent home or directed to stay home because their employer believes they have, or have been in close contact with a person who has, symptoms of a contagious illness, specifically, the Swine Flu, I mean the H1N1 virus.
Meant to help control the spread of the H1N1 flu virus, the chairman of the House Education and Labor Committee, and the chair of the Workforce Protections Subcommittee, announced the introduction of the emergency temporary legislation. The introduction of the Emergency Influenza Containment Act comes just as President Obama declared the H1N1 flu to be a national emergency last month.
The concern is that workers will not stay home even if they have a contagious illness, if they do not get paid for the time they take off from work. Currently, federal law doesn’t require employers to provide workers with paid sick leave.
If the Act is passed in its current form, it would cover both full- and part-time workers, on a pro-rated basis, in businesses with 15 or more employees. The amount of paid sick leave would be calculated based on an employee’s regular rate of pay and the number of hours that the employee would otherwise be normally scheduled to work.
The sick leave is available for contagious illnesses, including influenza-like illnesses. If you already give your employees at least five paid sick days, you would be exempt from having to provide additional days. If passed this provisions would take effect 15 days after being signed into law and would expire after two years.
The House Education and Labor Committee was scheduled to hold a hearing on the Emergency Influenza Containment Act during the week of November 16, 2009. Whether the bill becomes law remains to be seen…
Another Reason for Small Biz Wellness
Wellness Tax Credits for Small Biz May Be Coming
Okay, if you’re still on the fence as to whether or not to start a worksite wellness program at your small business, this may help you make a decision. We already know that when your employees’ health-risks increase your costs increase. When your employees’ health-risks decrease, your costs, decrease. Period!
What ever comes out of the current healthcare reform debate, you can bet that wellness and prevention will play a big part of that reform. Implementing a small business wellness program can not only help you control costs, it may even earn you a tax credit in the near future. Let me explain.
Currently, if you already have a wellness program in place, all you get is to deduct it as a regular business expense. Now, the government has issued a proposal that would give businesses a tax credit would be allow for 50 percent of the costs paid by an employer for providing a “qualified wellness program” during a taxable year. View the video.
Under the Healthy Workforce Act, the amount of the credit would be limited to an amount not exceeding $200 for each employee not exceeding 200 employees, plus $100 for each additional employee in excess of 200 employees. Only employees generally working more than 25 hours per week are taken into account.
For purposes of this credit, any amount paid for food or health insurance could not be included as a cost of the wellness program. The credit would not be refundable and would not be paid in advance and would be available for a maximum of five years.
To claim the tax credit for eligible expenditures, an employer would be required to obtain a certification by the Secretary of HHS (in coordination with the Director of the CDC and the Secretary of the Treasury) that its program meets the definition of a qualified wellness program.
In order for a program to be a qualified wellness program under the proposal, all employees would be required to be eligible to participate in the program. Further, under the proposal, a qualified wellness program includes four components:
- health awareness (such as health education, preventive screenings and health risk assessment);
- employee engagement (such as mechanisms to encourage employee participation);
- behavioral change (elements proven to help alter unhealthy lifestyles such as counseling, seminars, on-line programs, self help materials); and a
- supportive environment (such as creating on-site polices encourage healthy lifestyles, eating, physical activity and mental health). For an employer with 500 or more employees, to be a qualified wellness program, a program would be required to include all four components. For an employer with less than 500 employees, to be qualified wellness program, a program would only required to include at least three of the four components.
In addition, to be a qualified wellness program under the proposal, the program would be required to be consistent with evidence-based research and best practices, as determine by the Secretary, such as research and practices described in the Guide to Community Preventive Services and Guide to Clinical Preventive Services and the National Registry for Effective Programs.
Finally, another option would apply all of the criteria described above as well as provide employers with 50 or fewer employees with a credit limited to $400 per employee. This credit option would not have a sunset requirement for those employers, meaning it would be indefinitely.
We will be staying on top of this legislation, so we’ll let you know what happens!









