Wellness programs are the latest fashion experiment among companies in the ongoing battle to fight the inflation in health care costs and increase productivity in the workplace. But before your client or business joins the gaggle of enamored converts, the long-term costs of such programs must be thoroughly analyzed. This article identifies the potential pitfalls of wellness programs and why companies would be best served to let this trend pass.
Wellness programs come in a variety of shapes and sizes, and the rules that apply to them vary accordingly. Generally, wellness programs can be divided into three basic types: health assessment tests (e.g., cholesterol level); behavior modification programs (e.g., smoking cessation); and disease management programs (e.g., monitoring existing diabetes). In addition, programs may offer incentives or penalties to encourage participation or motivate employees to achieve specific health standards. Some wellness programs are group health plans while others operate independently of employers’ group health plans.
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