New York Times Examines Small Business Wellness Campaign in Jackson County, Mich.
The New York Times on Wednesday examined a small business wellness campaign in Jackson County, Mich., that could "be at the forefront of a national trend." According to the Times, regardless of "what kinds of changes are made in the health system, many policy experts are counting on wellness and disease-management programs to slow the relentless rise of medical costs." In Jackson County, 70% of adults are overweight or obese, and 14% have diabetes, compared with the national averages of 63% and 9%, respectively, according to a survey by Allegiance Health, which administers the campaign and spends $2 million annually to support community health projects. More than one in four Jackson County adults is a smoker, compared with one in 10 nationally.
The campaign allows small-business owners to "share ideas and encourage one another," although "each business makes its own health care decisions and pays for whatever coverage it provides," and "there is no pooling of employees for insurance purposes or to achieve other economies of scale" or "government contribution to the program," the Times reports. "If the strategy works, the result will probably be healthier workers and lower medical costs, and that will be striking, when many small businesses are unable to provide any health coverage at all," according to the Times.
The Times profiled Great Lakes Industry, an auto parts company in Jackson County that participates in the campaign. As part of the campaign, Great Lakes, which has about 65 employees, has built an on-site fitness center; hires health coaches to meet with workers throughout the year; offers fruits and vegetables to employees at no cost; and provides workers with "prevention benefits," which include physical examinations and immunizations, at no cost. In addition, Great Lakes employees and their spouses who participate in the campaign have their health insurance deductibles waived, copayments reduced by as much as 50% and premiums decreased by $681 annually. Health care costs for Great Lakes, which has 95% of employees enrolled in campaign, decreased from an average of $9,158 per worker in 2006 to $7,363 per employee in 2007 (Freudenheim [1], New York Times, 10/1).
The Times on Wednesday also examined recent efforts by some states to promote wellness programs to help make health insurance more affordable for small businesses (Freudenheim [2], New York Times, 10/1).