Resources | Insights

Connecting the dots: Employee engagement 
and its impact on clinical outcomes and employer costs

young woman smiling

Empower your workforce for higher engagement, better health outcomes, 
and lower costs

As benefit decision-makers for mid-to-large organizations, you are acutely aware of the need to balance cost management with providing high-quality healthcare benefits. Empowering your employees to better understand and utilize their healthcare benefits can drive higher engagement, achieve better health outcomes, and significantly reduce costs. This strategic approach is essential for long-term value and sustainability.

The current healthcare system: 
A source of frustration

Healthcare access is a crucial part of your employees' lives, yet navigating the healthcare system remains a significant challenge. For many of your employees, they don’t experience healthcare until they have to and that experience is often frustrating, time consuming, and costly. Add in the additional layers of understanding insurance, the benefits available, and accessing quality care, it’s no surprise that many employees often feel overwhelmed and confused.

And it’s not just your employees who are frustrated–you, the employer, are also increasingly frustrated with the current healthcare system. Escalating costs, fragmented care, and a lack of transparency have created a burdensome environment for both you and your employees. The average annual premium for employer-sponsored family health coverage reached $23,968 in 2023, with workers contributing $6,575 on average.

The complexity of healthcare 

The complexity of healthcare cannot be overstated. Your employees face an array of options, including different levels of coverage, co-pays, deductibles, and out-of-pocket maximums. During short open enrollment periods, they often lack the necessary information to make informed choices, leading to suboptimal plan selections.

52%

of people struggle to understand their health insurance and benefits

Fragmentation of care 

The fragmentation of care further complicates the healthcare landscape. 
Your employees often have to navigate between multiple healthcare providers, specialists, and services. This can result in disjointed care, where critical information is not effectively shared between providers. For example, an employee seeing a primary care physician, a specialist, and using an independent lab for tests may find that their healthcare records are not synchronized, leading to potential gaps in care. Inefficiencies in the U.S. healthcare system waste about $765 billion annually, with a significant portion attributed to administrative complexity and lack of coordination. 

38%

of employees say coordination of care between multiple doctors is very or somewhat difficult

Access to quality care

Access to quality care is another major hurdle. While some employees may have robust networks of healthcare providers, others may find that their options are limited, particularly in rural or underserved areas. Additionally, disparities in access to care can be worsened by socioeconomic factors–nearly 30 million Americans remain uninsured, and those with insurance often face high out-of-pocket costs that can deter them from seeking necessary care. 

Employees who delay or forego care due to cost concerns are more likely to experience worsening health conditions. In fact, 54% of people with employer coverage who reported delaying or forgoing care because of costs said a health problem of theirs or a family member got worse. Delaying care can lead to increased absenteeism, reduced productivity, and higher costs if they end up in the ER for care avoidance. 



Many insured adults reported that they or a family member had delayed or skipped needed health care or prescription drugs because they couldn’t afford it in the past 12 months, with 29% of those having employer coverage. These rising costs have led employers to seek innovative solutions that can ensure employees receive the care they need without breaking the bank.

84M

Americans live in an area with a primary care shortage, leading to wait times of 20+ days

The importance of employee engagement

Engaged employees are more likely to be smart healthcare consumers–they’re more likely to utilize preventive care services, adhere to treatment plans, and make informed healthcare decisions. Highly engaged employees are 21% more likely to be involved in wellness programs and have a 41% lower health-related absenteeism.

Employee engagement and wellness are about protecting your human capital, your most valuable asset.”

—Naz Beheshti

Achieving better health outcomes

When your employees are well-informed about their healthcare options and actively participate in their health management, they are more likely to seek preventative care, manage chronic conditions effectively, and avoid unnecessary emergency room visits. 

Preventive care: A proactive approach

Preventative care is the cornerstone of better health outcomes. Regular check-ups with a primary care provider (PCP), screenings, and vaccinations can catch potential health issues early, before they develop into more serious conditions. When your employees understand the importance of preventative care and have easy access to these services via virtual care, they are more likely to take advantage of them. According to the Centers for Disease Control and Prevention (CDC), increased use of preventative services could prevent thousands of deaths each year and save billions in healthcare costs. For instance, the CDC notes that colorectal cancer screening, mammography, and flu vaccination are among the most effective preventive measures, yet they are underutilized.

Establishing a PCP is an important first step in proactive prevention. A PCP not only provides regular health assessments and screenings but also offers a consistent point of contact for health-related concerns, fostering a trusted relationship between the patient and the provider. This relationship is crucial for ongoing health management and early detection of potential issues. In addition, PCPs can guide patients through the healthcare system, making referrals to specialists when necessary and ensuring continuity of care.

Included Health's virtual Primary Care solution provides your employees access to a 24/7 Care Team, ensuring they are cared for before, during, and after visits. Our virtual Primary Care enables real-time consultations, easy follow-ups, and continuous health monitoring, which are essential for maintaining regular preventive care. 

35%

more patients returned for 
follow-up care

By embracing virtual primary care solutions like those offered by Included Health, you can enhance the accessibility and effectiveness of preventive care. This proactive strategy ensures that your employees are more engaged in their health management, leading to early detection and treatment of health issues, which ultimately results in a healthier, more productive workforce. The integration of virtual care into the preventive care model is a forward-thinking approach that aligns with the needs of a modern, tech-savvy workforce, providing a seamless and efficient way to maintain and improve health.

Effective management of chronic conditions

Chronic conditions, such as diabetes, hypertension, and heart disease, are significant drivers of healthcare costs and can severely impact employee productivity. Empowered employees who actively manage their chronic conditions are less likely to experience complications and hospitalizations. Education and resources, such as disease management programs, can play a pivotal role in helping employees manage their health. A study published in the Journal of Occupational and Environmental Medicine found that comprehensive chronic disease management programs can lead to a 24% reduction in hospital admissions and a 13% reduction in emergency room visits among participants.

Included Health's integrated care model is particularly effective in supporting your employees with chronic conditions. By providing personalized care plans, regular check-ins, and access to a multidisciplinary team of healthcare professionals, we ensure that your employees receive consistent and comprehensive care. This approach not only helps in early identification and management of potential health issues but also promotes adherence to treatment plans. We’ve seen up to a 6.5% increase in chronic condition treatment and adherence. This improvement in adherence is critical, as it directly correlates with better health outcomes and reduced healthcare costs.

6.5%

increase in chronic condition
treatment and adherence

Reducing unnecessary ER visits

Emergency room visits are not only costly but often indicative of gaps in primary care access and disease management. By educating your employees on appropriate care settings and providing access to alternatives like virtual primary and urgent care, you can help reduce unnecessary emergency room visits. Virtual primary care, in particular, has proven to be a cost-effective solution, offering immediate access to care for non-emergency issues. 

Reducing hospital admissions and emergency room visits is a key benefit of Included Health's Care and Case Management offering (which is part of our Navigation solution). We’ve seen a 19% reduction in urgent care visits and 17% reduction in hospitalizations among CCM-enrolled members. By leveraging data analytics and continuous health monitoring, we identify at-risk employees and intervene proactively to manage their conditions before they escalate to emergencies. For example, an employee with hypertension can receive timely medication adjustments and lifestyle recommendations through virtual care consultations, significantly lowering the risk of acute events that would necessitate hospital visits. Additionally, the convenience of virtual care reduces the likelihood of missed appointments, ensuring that your employees stay on track with their treatment plans. This proactive management not only enhances the quality of care but also translates into substantial cost savings for you by preventing expensive emergency interventions and hospital stays.

19%

reduction in urgent 
care visits

17%

reduction in hospitalizations

The role of wellness programs and resource group partnerships

High-performing wellness programs are pivotal in achieving better health outcomes. These programs often include a variety of components such as fitness challenges, nutritional counseling, mental health support, and smoking cessation programs. The integration of wellness programs into the workplace can lead to substantial improvements in employee health and well-being. A National Business Group on Health report highlighted that companies with robust wellness programs experience a 25% reduction in sick leave, health plan costs, and workers' compensation and disability costs. Moreover, wellness programs can foster a culture of health, encouraging your employees to make healthier lifestyle choices that benefit both their personal and professional lives.

Employee Resource Groups (ERGs), which are voluntary, employee-led groups that foster a diverse and inclusive workplace, are well-positioned to connect with employees on a personal level. Included Health partners with your ERG's and leverages the unique insights and trust that ERGs have within their communities to deliver targeted health education and resources. This collaboration ensures that employees from all backgrounds understand their healthcare options and how to utilize them effectively, thereby reducing confusion and improving engagement with health benefits.

Furthermore, ERGs play a vital role in promoting participation in wellness programs. For instance, fitness challenges and nutritional counseling can be more impactful when they are endorsed and supported by trusted peer groups within the organization. ERGs can help disseminate information, organize group activities, and provide motivation, making wellness programs more accessible and engaging for all employees. This grassroots approach not only boosts participation rates but also helps in creating a supportive environment where healthy behaviors are encouraged and celebrated.

Mental health and well-being

Mental health is a crucial aspect of overall health outcomes. Stress, anxiety, and depression can negatively impact physical health and work performance. Employers that provide mental health resources, such as Employee Assistance Programs (EAPs), counseling services, and stress management workshops, can help employees manage their mental health more effectively. According to the World Health Organization (WHO), for every $1 invested in scaling up treatment for common mental health disorders, there is a return of $4 in improved health and productivity. By addressing mental health proactively, you can reduce absenteeism, enhance productivity, and improve overall employee satisfaction.

Included Health's Behavioral Health solution is designed to address these critical needs by offering a comprehensive suite of mental health services that are easily accessible and highly effective. Through our app, your employees can access a range of services, including virtual therapy sessions, psychiatric care, and wellness coaching. This flexibility allows your employees to seek help in a manner that suits their personal preferences and schedules, reducing the stigma and barriers often associated with mental health treatment. The convenience of virtual care ensures that your employees can receive timely support, whether they are dealing with acute stressors or managing long-term mental health conditions.

83%

improvement in depression symptoms after 8 therapy visits

76%

improvement in anxiety symptoms after 8 therapy visits

22%

higher depression treatment rate compared to seeing in-person PCPs

Moreover, Included Health's Behavioral Health solution emphasizes personalized care. Your employees can choose from a network of licensed therapists and mental health professionals who specialize in various areas, ensuring they find the right match for their specific needs. This personalized approach is crucial for effective mental health treatment, as it fosters a stronger therapeutic relationship and better outcomes. Additionally, we provide ongoing support through follow-up sessions and continuous care coordination, helping your employees maintain their mental health over time.

The integration of mental health resources into the overall healthcare strategy not only supports your employees' well-being but also contributes to a healthier workplace culture. By normalizing conversations around mental health and providing robust support systems, you can create an environment where your employees feel valued and supported. This proactive approach can significantly reduce the incidence of mental health-related absenteeism and presenteeism, where employees are physically present but not fully engaged due to mental health issues.

Cost reduction through smart utilization

Effective utilization of healthcare benefits can lead to significant cost savings for employers. By consolidating point solutions and focusing on long-term value, employers can streamline their healthcare offerings and eliminate redundancies. 
For instance, integrating virtual care services can reduce the need for in-person visits, which are often more expensive.

Strategies for empowering employees

To harness the full potential of healthcare benefits, employers need to implement strategies that empower their workforce:
  • Education and Communication: Providing clear, concise information about available benefits and how to use them is essential. Regular workshops, webinars, and easy-to-understand materials can help demystify the complexities of healthcare plans.

  • Personalized Support: Offering personalized support through care coordinators or concierge services can guide employees in navigating their healthcare options. This personalized approach ensures that employees receive the care they need when they need it.

  • Technology Integration: Leveraging technology platforms that aggregate healthcare information in one place can simplify the user experience. Mobile apps and online portals can provide 
real-time access to benefit details, claim statuses, and health resources.

  • Incentive Programs: Implementing incentive programs that reward healthy behaviors can motivate employees to engage 
with their healthcare benefits. For example, employers can offer financial incentives for completing wellness challenges or participating in preventative care programs. 

The long-term value proposition

The benefits of empowering your employees with a deeper understanding and better utilization of their healthcare benefits extend beyond immediate cost savings. By fostering a healthier, more engaged workforce, you can enhance productivity, reduce absenteeism, and improve overall employee satisfaction.

The path forward

Addressing these challenges requires a multifaceted approach. Employers need to prioritize education and communication to ensure employees understand their benefits and how to use them effectively. Simplifying plan options and providing decision-support tools can help employees make better-informed choices. Enhancing care coordination through integrated health platforms can reduce fragmentation and improve outcomes. Expanding access to quality care through virtual care services and partnerships with healthcare providers, like Included Health, can mitigate disparities. Finally, offering robust support systems, such as care coordinators and wellness programs, can alleviate the psychological burden and promote overall well-being.

Conclusion

Employers need to prioritize strategies that empower their employees to fully understand and utilize their healthcare benefits. By doing so, they can drive higher engagement, achieve better health outcomes, and significantly reduce costs. The current frustrations with the healthcare system demand a proactive and innovative approach, one that consolidates solutions and focuses on delivering long-term value to employees. As the healthcare landscape continues to evolve, the organizations that embrace this strategy will be well-positioned for success, benefiting both their employees and their bottom line.