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What are the best practices for designing and implementing wellness incentives?

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Wellness incentives are rewards or benefits that encourage employees to adopt healthy behaviors and improve their well-being. They can range from cash bonuses and gift cards to discounts and free services. Wellness incentives can benefit both employers and employees by reducing health care costs, absenteeism, and turnover, as well as enhancing productivity, morale, and loyalty. However, designing and implementing wellness incentives can be challenging, especially in the context of utilization management. Utilization management is the process of evaluating and monitoring the appropriateness, efficiency, and quality of health care services and resources. It aims to ensure that employees receive the best possible care at the lowest possible cost. How can you align your wellness incentives with your utilization management goals and strategies? Here are some best practices to consider.

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Anlly Cue

Director of Pharmacy, Devoted Health

1 Assess your needs

Before you launch a wellness incentive program, you need to assess the health needs and risks of your employees, as well as the costs and benefits of different interventions. You can use data from health assessments, claims, surveys, and biometric screenings to identify the most prevalent and costly health issues, such as chronic conditions, obesity, smoking, or stress. You can also solicit feedback from your employees to understand their preferences, motivations, and barriers to wellness. Based on your assessment, you can prioritize the areas and outcomes that you want to focus on and measure.

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Anlly Cue

Director of Pharmacy, Devoted Health
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Many of us are now working from home. I’d recommend looking at what specific incentives align with this new normal. 1. Healthy food delivery 2. At home exercise programs 3. Promote self care and hobbies to get you working on others things outside of work

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2 Align your incentives

Once you have defined your wellness objectives, you need to align your incentives with them. You can use a combination of financial and non-financial incentives, such as cash, points, vouchers, recognition, or social support. You can also use different types of incentives, such as participation-based, outcome-based, or activity-based. Participation-based incentives reward employees for enrolling in or completing a wellness program or activity, such as a health screening or a fitness challenge. Outcome-based incentives reward employees for achieving or maintaining a specific health goal or standard, such as a healthy weight or blood pressure. Activity-based incentives reward employees for engaging in or tracking a certain health behavior or habit, such as walking or eating fruits and vegetables. You should align your incentives with the level of difficulty and impact of each wellness action, as well as the utilization management criteria and guidelines that you want to promote.

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Anlly Cue

Director of Pharmacy, Devoted Health
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Many of us are now working from home. I’d recommend looking at what specific incentives align with this new normal. 1. Healthy food delivery- use voucher 2. At home exercise programs - tie this one to outcome and award points to use for awards selected 3. Promote self care and hobbies to get you working on others things outside of work—-track the work and progress as others can give you recognition for your work and progress

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3 Communicate your incentives

Communication is key to the success of your wellness incentive program. You need to communicate your incentives clearly, consistently, and frequently to your employees, using various channels and formats, such as emails, newsletters, flyers, posters, or webinars. You should explain the purpose, benefits, and rules of your incentives, as well as how to participate, earn, and redeem them. You should also provide feedback and updates on the progress and results of your incentives, as well as testimonials and stories from your employees. Communication can help you increase awareness, engagement, and trust in your incentives, as well as reinforce the link between wellness and utilization management.

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Anlly Cue

Director of Pharmacy, Devoted Health
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We are overwhelmed with emails 1. At home personalized making works well- then if action is taken send updates via email personalized to you with additional action to get to the next level Then send targeted recognition in a platform or landing spot others will use more broadly

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4 Evaluate your incentives

Finally, you need to evaluate your incentives regularly and systematically to determine their effectiveness and impact. You can use quantitative and qualitative methods, such as surveys, interviews, focus groups, or analytics, to collect and analyze data on the participation, satisfaction, and outcomes of your incentives. You should compare the data with your baseline and goals, as well as the costs and savings of your incentives. You should also solicit feedback and suggestions from your employees and stakeholders to identify the strengths and weaknesses of your incentives, as well as the opportunities and challenges for improvement. Evaluation can help you adjust, optimize, and sustain your incentives, as well as demonstrate their value and return on investment.

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5 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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Utilization Management

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What are the best practices for designing and implementing wellness incentives?

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1 Assess your needs

2 Align your incentives

3 Communicate your incentives

4 Evaluate your incentives

5 Here’s what else to consider

Utilization Management

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