|11:15 am –
70-75% of cost in Healthcare is from preventable lifestyle driven issues.
ie. 15% of GDP spending is preventable. $1.5T
“Every extra pound of belly fat is proof of the power of advertising”
Ken Thorpe, Emory University: Obesity related health care spending will quadruple to $344B in nine years
This is a business problem because businesses benefit from employees being healthy.
Everyone else benefits from people being sick – Dee Eddington.
Focus on chronic conditions to bring down costs through disease management and clinical programs
Focus on 80% of low utilizers to KEEP costs down.
Wellness needs to be Proactive. Most are currently Reactive.
Incentives have a role to play.
Engage people in their health, even when they aren’t sick in ways that are fun and meaningful and reward participation and achievement.
Promote effective and on going relationships.
– Recognize needs
– Find passion points
– Build on existing relationships
Hyperbolic discounting. E.g. we discount value of exercise today for it’s future intangible benefit.
don’t see benefit = Don’t Do.
Incentives make people do something they wouldn’t have done.
– Initial sign-up
– Long term engagement
The incentive has to match the value of the benefit and effort to participate.
“Facilitate Health” – Be supportive not prescriptive
Meet People where they are.
Make Fun things healthy.
Foster entanglement…. Make it coo, Fun and drive Excitement to maintain engagement
e.g. involve the family.
Incentives: Tangible and Intangible
It’s not just gift cards. Intangibles are important such as Recognition, Virtual rewards, acceptance, group competition and Social Responsibility.
We are competing against Madison Avenue.
Don’t forget the financial and actuarial rigor.