October 2005 Issue

Contents

Specific Strategies Can Help You Control Pharmacy Costs

Ten Tips for Surviving "Sign-up Season"

Wellness Programs Show Promise at FHN

Contact Information

SPECIFIC STRATEGIES CAN HELP YOU CONTROL PHARMACY COSTS

With forecasters suggesting that brand-name prescription drugs are expected to increase by 11% in 2005, astute program managers are constantly looking for new ways to better manage pharmacy benefit costs. Indeed, in the midst of the traditional employee "sign-up season," it often becomes one of the biggest challenges employers must tackle.

NIHP recently sponsored a seminar to educate attendees on this crucial and strategic topic. Speakers, including Lindy Pearson, a nationally known expert on prescription drug benefit programs, addressed market trends, plan designs and management tools for plan savings. Her presentation included pertinent information ranging from dose optimization to tablet splitting to the management of injectable and biotechnology drugs.

In addition, Jane Buck from the Stephenson County Senior Center presented an overview of the new Medicare Part D prescription drug plan. Peggy Fuller, NIHP director, provided a comprehensive review of employers' responsibilities for complying with these regulations.

In case you missed it, we're making highlights of these fact-filled presentations available to E to E readers. (The above links are in Adobe PDF format.)

TEN TIPS FOR SURVIVING "SIGN-UP SEASON"

The clock is ticking, and open enrollment is just around the corner for many of you. As you prepare to communicate healthcare benefit changes to employees, here are 10 key tips to help you survive—and indeed thrive—during this busy and strategically important time.

1. Be prepared! In today's changing climate, this advice is not just for Girl Scouts. Since you may be communicating significant and potentially controversial changes, it is important to address your audience with confidence, candor and clarity. Perhaps nothing is as important as putting in your time to prepare what you'll say—and how you'll say it.
2. You can't "over-communicate." Most people underestimate how often a message needs to be heard before it is remembered or understood. That's why it is important to communicate early and often. Since any change may be perceived as a big deal to employees, you can help by preparing them for what is coming, giving them time to digest the information and then reinforcing it on a regular basis.
3. Communicate in a variety of ways. Think beyond print. Know that web pages alone aren't enough. Re-evaluate how you conduct face-to-face sessions. Brainstorm new ways to reach employees that differ from how you've communicated in the past. A strategic combination of communication tactics will be more effective and better remembered. Just make sure each approach uses consistent verbiage and drives a consistent message.
4. Don't sugarcoat. Be honest and direct when communicating changes, particularly when costs are increasing. Everyone needs to understand specifics. Just make all the information as easy to digest as possible.
5. Educate managers, supervisors and other "change agents." It's crucial the people on the front lines clearly understand all plan changes, so they can explain and support them amongst the rank and file. If they don't understand the rationale and goals, chances are their reports won't either.
6. Share the big picture. Health care strategies are dependent on many variables, including market conditions, industry trends and business strategies. Explain, in simple terms, what's happening with health benefits and why from a broader perspective.
7. Learn to "welcome" whining. It isn't easy to embrace complaints, but you'll be more successful if you welcome most of them. If your plan changes are dramatic, employees need time to adjust their expectations and process how the changes will affect them. Be patient and remember, if you aren't getting some pointed questions chances are your audience doesn't fully understand the new program.
8. Personalize. People relate much better to examples relevant to their situations than to abstract concepts. It helps to provide testimonials from other people in similar circumstances or to offer tools that allow employees to model and make decisions based on their own circumstances.
9. Take advantage of a captive audience. You've got them all together, and it doesn't happen often. What else can you say to your employees that will help them be better healthcare consumers? Keep the message simple, but don't lose this opportunity to educate and inform.
10. Avoid overload. It's important to communicate thoroughly and introduce new ideas, but don't overload employees. Learn to strike the right balance in what, how and when you communicate.

Remember, NIHP is available to help you during open enrollment. If we can simplify your "sign-up season," just give us a call at 599-7050.

Resource: Hewitt Associates

WELLNESS PROGRAMS SHOW PROMISE AT FHN

We all know by now that employee health and wellness programs are big news. Encouraging—and rewarding—healthy behaviors and lifestyles can significantly impact the bottom line. Decreased healthcare costs, reduced employee absence and increased staff productivity are just a few of the benefits.

FHN, a local integrated healthcare organization, is one business that promptly acted on this industry trend. Dr. Michael Perry, FHN executive vice president and chief physician officer, recently spearheaded new programs encouraging employees to strive for specific wellness standards.

• Wellness Rebates – employees and their spouses receive cash back when meeting certain health targets. Screenings at the beginning and end of the year measure results for weight loss, BMI, smoking cessation and blood pressure, for example. Undergoing preventive, age-related testing, like colonoscopies or mammograms, is also rewarded.
• "Passport to Freeport" Walking Program – employees who participate in a five-month walking program are eligible for a "Passport to Freeport"—Freeport, Bahamas, that is! Upon reaching certain milestones, employee names are placed in a drawing for an all-expenses paid vacation.
• Create Your Weight – This nine-week program focuses on nutrition education, physical activity and the role of behavior therapy in weight reduction and weight management. It covers many subjects, including nutrition, body composition and recipe modification. Testing is completed to determine personalized calorie needs; software, workbooks and participant's manuals provide tools for motivation and progress monitoring.

According to Human Resource Consultant Jennifer Holder, "This proactive and multi-dimensional approach has given employees many options, contributing to a terrific response. Although we're really looking at a three-year time span to measure the success of these initiatives, early statistics are impressive. For example, we anticipated about 300 participants would get involved in our Wellness Rebate program, and over 500 signed up. We expected about 300 to embark on our walking program, and the response was double that. So we are very gratified that so many folks understand the importance of the wellness issue, and are ready to tackle personal lifestyle challenges as a result."

The company found early success with its Get Fit Challenge, a program encouraging both employees and community members to eat better foods, drink more water and exercise more regularly. Over 650 ambitious participants were part of the 2005 program.

For more information contact us at:
(800) 723-0202 or NIHPCustomerService@fhn.org

1006 W. Stephenson St., Freeport, IL 61032

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