According to a Buck Consultants report, Understanding Your Strategies for Coping with the Changing Pharmacy Benefit Landscape, employers see their workers as allies in their long-term strategies to manage drug costs. The survey found that the top three strategic initiatives for long-term cost management are providing employees with tools and information, providing employee education, and worksite health and wellness activities.
“In terms of long-term cost control strategies, employers plan on heavy employee involvement,” says Michael Jacobs, a principal at the consulting firm.
He says that the key to this strategy is engaging employees and providing the necessary information so that they don’t need to seek it out on their own. Jacobs feels that the traditional method of waiting for a catastrophic event such as a heart attack before paying attention to healthcare is outdated and that a more involved, preventive approach would result in healthier employees and lower costs.
“It’s hard to educate adults,” he says. “We don’t want to do things, especially if they’re uncomfortable. That’s where adult education comes in, and frankly I think we’ve done a relatively poor job up to now.”
According to Jacobs, the best way to bring about change is to set an example, preferably from a position of authority. He recommends a member of senior management making significant lifestyle changes and sharing the results in order to inspire staff to follow.
Providing incentives is key, Jacobs says, adding that the power of the almighty dollar should not be underestimated. Providing cash incentives to people who make positive changes to their diet and exercise regimen is one of the most obvious, and most effective tactics employers have at their disposal.
“The concept here is that you have to give people a reason to take action and change a bad behaviour,” he says. “It could be money, or anything that’s going to give an immediate reward. Generally, one half of 1% to 1% of net income is enough to get people to take some kind of action.”
During its research, Buck discovered that many patients stop taking their medications during treatment due to a perception that medical staff was ambivalent towards them. “That’s the number one reason people do not take their medication,” Jacobs says. “They don’t think anyone really cares.” He explains that providing health coaching is one way for employers to show they care about their employees, as well as providing an on-site nurse or pharmacist to answer questions.
Being proactive goes a long way in this regard, such as follow-up calls after routine medical tests that encourage workers to speak to a health coach, and offering them a rebate on their prescription for doing so.
“So what you do is you sign them up in a program where they save some money, get all their questions answered and maybe get some preventive therapy,” says Jacobs. “That’s the kind of thing that promotes wellness and gets people to change their behaviour.”
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