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Proactive approach helps to curb health care costs

Anne Warhover

As a veteran of the business world, I certainly understand why many business owners are apprehensive about the health care system. They have enough on their plates simply dealing with the day-to-day challenges of a slowly recovering economy, meeting payroll, making a profit and keeping the lights on.

Businesses already pay a bulk of health care expenses through their employees’ health insurance premiums — which, as we all know too well, continue to rise year after year. According to the Colorado insurance commissioner, the average insurance premium rose 22 percent between 2007 and 2009, with only a slight decrease in 2010.

According to the Centers for Medicare and Medicaid Services, health expenditures ballooned to 17.6 percent of gross domestic product in 2009 and is expected to rise to 19.3 percent by 2019 – a substantial (and perhaps unsustainable) figure. The actual health of Coloradans also influences the economy. While Colorado has a relatively low obesity rate among adults, the state’s childhood obesity rate is growing at the fourth-highest pace in the country. A recent statistic from the Centers for Disease Control and Prevention shows the health consequences related to obesity costs Coloradans at at estimated $874 million a year.

No one likes the prospects of higher health insurance premiums, a growing share of GDP devoted to health care costs and an increasingly unhealthy work force. Yet, by thinking of health care as an “investment” rather than an “expense,” Colorado business leaders can help ensure a healthier work force in the short term while doing their part for the health care system in the long term. Here are a few suggestions for meeting that challenge:

Make wellness part of your culture: Rather than absorbing double-digit premium hikes year after year, employers can work to improve the health of their work force by offering special incentives and encouraging a healthier work environment. Empirical data shows that these kinds of programs reduce absenteeism while increasing productivity and job satisfaction. In 2004, Coors Brewing Co. realized a $6.15 return on investment for every dollar spent on its wellness program.

Support healthier communities: One of the best ways to fight obesity is to build healthier communities. That means ensuring safe, convenient pedestrian access to schools and attracting grocers and farmer’s markets where people have access to fresh fruits and vegetables. Businesses can support these efforts by supporting programs in their communities that make a difference.

Get involved: Most local chambers of commerce in Colorado are engaged in health policy through advocacy and educational efforts. For many business leaders, simply participating in health-related forums or keeping up with health policy briefs in chamber newsletters is a good starting point. Also in Colorado, the Center for Improving Value in Health Care (CIVHC) partners with the business community, providers and health plans to develop new solutions to contain costs; improve quality; and build a stronger, more efficient health care system. In addition, business leaders can learn more about their role in health care at the Colorado Health Foundation at www.coloradohealth.org.

There’s no silver bullet point that can cure the many ailments that afflict today’s health care system. But businesses have a stake and a responsibility in paving a sustainable path to improve the physical and economic health of our state. These little steps could make a big difference in the long run.

 

Anne Warhover is president and chief executive officer of the Colorado Health Foundation. Reach her through the Web site at www.coloradohealth.org.

The Business Times has served as the definitive source for Grand Junction business news since 1994. The journal offers news, views and advice you can use twice each month in print with daily updates online at www.TheBusinessTimes.com
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Posted by on Jul 26 2011. Filed under Guest Columnists, Opinion. You can follow any responses to this entry through the RSS 2.0. Both comments and pings are currently closed.

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