Reducing Your Total Health Care Spend

For more than 27 years, IHPM has been bringing employers innovations that deliver greater value from their investments in work force health. This began with the health and productivity “equation”:

• RFI = IWP: (Reduced Functional Impairment = Improved Work Performance)

This is IHPM’s fundamental value proposition – that reducing employees’ health-related functional impairments improves their work performance or productivity. ?The truth of this proposition was demonstrated in multiple employer field studies, then published in the peer-reviewed research literature.

Now, IHPM is joining forces with Warren (Ren) Brown, M.D. and Proactive Care Partners to increase the power of its value proposition by adding a second ?equation:

• RAIU = RTCC (Reduced Avoidable Inpatient Utilization = Reduced Total Cost of Care)?

click the image below for a short video about Designing Health Benefits to Meet Population Health Needs

Self-insured employers are striving to reduce their total health care spend, which combines medical and drug expenditures.? But they are focusing intently on the “shiny object” of rising specialty drug costs for treating chronic diseases, and overlooking the much larger rising costs of inpatient medical care resulting from hospitalizations.? Dr. Brown’s Proactive Care Plan (PCP) zeroes in on this bigger target of inpatient utilization to produce large proven savings in employers’ total cost of care by reducing hospitalizations.? ?

Reducing the total cost of care by reducing avoidable inpatient utilization will produce value far exceeding what employers are getting from their cost containment efforts narrowly focused on drug spending.? PCP’s data analytics show that increased Rx spending to manage chronic health issues often produces a positive ROI by keeping employees out of the hospital and on the job. ?By heading off larger medical costs and lost work time from avoidable hospitalizations, proactive care is the way to reduce employers’ total cost of health care. ??

PCP starts by diagnosing the health care needs of the employee population to then build a health benefits structure that improves health and reduces costs by addressing those needs, targeting high-risk employees and those with rising risks. This is true population health management.?

Let's start our discussions soon. Connect & Message or email me to schedule a time to discuss how we can help in reducing your corporate total health care spend!