MHealthy is an investment in prevention and risk management strategies that help reduce long-term health care costs. Our focus is on maintaining the health of the well and helping those at risk for illness and injury to reduce their risk.
MHealthy’s two main health risk goals are: (1) increase the number of people who are low risk; and (2) decrease the number of people who are high risk. Based on health questionnaire results from 2009, 2010 and 2011, the data indicate progress toward these goals. The number of participants who are low risk for poorer health has increased. Additionally, those in the medium and high health risk level categories have decreased
(see “Health Risk Level Percentages by Year” graph).
A change over two years cannot be considered a trend that affects short-term costs. However, even small decreases in medium and high risk levels is significant in a population of more than 38,000 benefits-eligible employees, which can translate into significant reductions in long-term health and productivity costs.1
In contrast, if we do nothing to impact health costs, U-M’s projected costs will continue to increase, as illustrated in the graph on the right. For example, in 1999, 7.4 percent of the university’s total employee compensation budget was spent on health benefit contributions. By 2009, it rose to 11.6 percent, with projections as high as 17.9 percent by 2029.
If we can reduce our population’s health risks (high blood pressure, high cholesterol, stress, tobacco use, obesity, etc.), we have the opportunity to reduce this rate of health care cost increase. We will continue to monitor the university’s actual health costs over time to determine if we are successfully impacting our cost trend.
1Baicker, K, Cutler D, Song Z. Workplace wellness programs can generate savings. Health Affairs. 2010;29(2):304-311 |