Risk & Business Magazine Knight Archer Insurance Fall 2015 | Page 27

Health and Wellness Healthy Employees for a Productive Workplace BY: BRENNAN BOYKO, KNIGHT ARCHER COMMERCIAL INSURANCE [email protected] E mployee health and wellness has been rapidly declining over the past 20 years. Hypertension (high blood pressure), diabetes and obesity are now more than ever affecting workplace employees. These issues have a direct impact on the individual and their productivity at work. And, for the first time in decades, life expectancy in the United States has begun to decline according to a study by the Centre for Disease Control and Prevention. As employees health gets worse, the cost benefit plans and lost productivity increases. According to a 2010 Towers Perrin Health Cost Survey, employers are paying 28% more in benefit costs and employees are paying 40% more. As drugs become more expensive and new types of drugs like biologics enter the market, costs will continue to increase. Many conditions and diseases that impact employees are preventable. Leading causes of increased health risks for employees are smoking, physical inactivity and poor eating habits . The employer, in partnership with their insurance company, can implement and co-ordinate programs which can help employees make better health-related decisions. This leads to a healthier employee population. Canadian Insurance companies offer a variety of wellness programs to assist the employer in creating a healthier work environment. Insurance companies will provide plan members with tools such as: • Health Assessments for employees to review areas such as nutrition, smoking and stress • Personal Health Records to manage their health information • A library of current and reputable sources of health and wellness information • A goal setting tool to measure progress Employers can review all of this information to better understand and follow their plan members’ health trends in order to impact Extended Health Care Costs and productivity. These programs work! The Public Health Agency of Canada reported that a physical activity program improved productivity and reduced employee absenteeism. One company specifically observed a return on invest of $6.85 per dollar invested. A Sun Life study also determined that wellness programs can reduce absenteeism by 1.5 days per year or an estimated $251 per year. Both employers and employees are recognizing the importance of these programs. Of the 100 top employers in Canada, 77 have wellness programs in place. These employers state that wellness programs have either met or exceeded their expectations. The HR directors believe the wellness programs have positive impacts for their businesses in terms of decreased insurance costs, less absenteeism and less turn over. Wellness programs also lead to greater productivity and motivation while also enhancing recruitment opportunities in a competitive employment market. By investing in a wellness program, employers can realize long term positive impacts for their organization now, and even more so in the future. Brennan Boyko has been in the group benefits industry for 16 years and has designed and developed group benefits programs of varying complexity for businesses ranging from 3 to 15,000 employees. TM FALL 2015 RISK & BUSINESS MAGAZINETM 27