How Wellness Programs Can Help Save Cost Despite Being Given The Financial Burden Of Healthcare

1545 Words Jul 26th, 2015 7 Pages
Introduction Employers have created wellness programs to tackle the unhealthy workforce issue that hampers productivity and acts as an obstacle to produce efficient results in respective industries. Health seminars, sports league games, sponsored exercises, gym facilities and health screenings are among the types of wellness programs employers have often used to stimulate a healthy workforce (Investopedia). In addition, wellness programs also include financial incentives in the form of insurance subsidies and penalties for employees that do not complete a certain requisite set forth by the employer. However, many employers are now very concerned about implementing wellness programs in their respective companies right after the Affordable Care Act was signed (Sirpal). This is because the law signed by the 44th President of the United States; Barrack Hussein Obama has made the consumers in charge of healthcare and the employers to ensure healthcare coverage is provided for their eligible employees (Sirpal). The result of this is the need for a cost-benefit analysis on how wellness programs can help employers save cost despite being given the financial burden of healthcare costs. This paper will discuss (1) the background of the problem with Healthcare Costs and ACA, (2) the role of wellness programs in reducing premiums paid to an insurance provider, (3) the uncertainty with wellness programs and (4) how employers should justify their pricing methods with the help of wellness…
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