Is Direct Healthcare the Right Fit for Your Organization?
Direct healthcare continues to rise in popularity because of its ability to remove barriers to care that people typically face in the community, while also generating cost savings for employers. By implementing a direct healthcare solution, organizations are positioned to tackle some of the toughest challenges in healthcare and drive real results. Could an onsite, nearsite, or digital health solution be a good fit for you, your employees, and their families? The answers to these four questions can help guide your organization to the right decision.
Is your organization self-insured?
Companies that are self-insured, meaning they pay claims themselves while a third-party administrator processes them, are a great candidate for direct healthcare. By taking on the healthcare risk, your team can customize healthcare benefits to meet the unique needs of your population, rather than purchasing a “one size-fits-all” policy from an insurer. Simply put, as a self-insured organization you’ll have more to gain because of what you have at risk and have an easier time choosing the right products and services to deliver the most value.
If it’s not realistic for your company to invest in a dedicated onsite health center, the best solution may be a shared nearsite health center, which allows smaller organizations to pool their resources together. One center is shared among multiple organizations, typically three to six, and is accessible exclusively for participating client populations. Digital access is also an option for companies both big and small, especially those with predominantly remote workforces. Regardless of where your employees are, virtual appointments mean care is just a video, message, or phone call away.
Offering direct healthcare can still be an option for companies that are not self-insured. For example, health plans often look for ways to innovate and reduce their medical loss ratio. Direct healthcare can be customized and designed to meet a variety of unique population needs, making it a strategic choice to be sold as part of a health plan benefit. The insurer will often grant premium discounts or experience refunds because an onsite health solution saves them claim costs.
Is your company large enough?
The great part about direct healthcare is there’s no true “out-of-the-box” solution! With the right partner, there is a level of customization to fit any organization’s needs, whether they have 85,000 employees or 1,000. A good direct healthcare partner can help assess which model or combination of models is the most cost-efficient and can also provide insights on which products may be most valuable for you.
Do you have a goal in mind?
Any company that wants to invest in direct healthcare must ask themselves what they want to achieve. Do they want to:
- Make an impact through employee experience?
- Get their healthcare spend under control?
- Support their employees in being more productive?
It’s important to consider how a healthcare solution ties back to the overall goals and objectives of your company. Those who implement direct healthcare solutions are in a unique position to have a positive impact on their population’s health and wellbeing. Identifying what’s important to you can help build the best solution that delivers value in the long run.
What industry is your organization in?
Direct healthcare can be delivered across all industries for populations big and small, but there are certain nuances to keep in mind based on the industry you fall under.
Public Sector and Municipalities – Unlike private companies, these organizations have a greater responsibility to taxpayers, as they can see where their tax dollars are being used. That’s important to remember as you work to validate the benefit of direct healthcare for everyone involved.
Tribal Gaming Organizations – Direct healthcare can positively impact these organizations that are often located in communities with limited access to high-quality care. Just like Fortune 1000 employers, benefits leaders in this industry can address things like stressful work environments, poor nutrition and lifestyle habits, and productivity concerns.
Taft-Hartley Funds – Organized labor leaders are faced with solving the healthcare access concerns that exist within their broad member population, ranging from newborns to retirees.
Higher Education – Colleges and universities are often overlooked as an industry that can benefit from direct healthcare. With lower turnover rates than many other companies, these employers often have higher rates of employees with long-term conditions, resulting in higher costs. Providing better access to care can help lower spend and promote a healthier population.
Knowledge and Service Companies – Financial institutions or tech companies may choose to focus on fitness centers to encourage their workers to take a break from sitting at their desks all day. A behavioral health solution is another focus area for these industries to help improve the mental health of employees with demanding deadlines.
Industrial Organizations – The physical demands of these jobs mean leaders will strongly consider implementing an occupational health program to help manage costly musculoskeletal injuries. Other products like physical therapy or chiropractic could also have a big impact on the overall wellbeing of these workers.
If your answers are pointing you toward direct healthcare, don’t start your journey alone! Our website is filled with helpful resources, like what types of care you can offer, how you can deliver that care to your employees, and why Premise Health is the best partner for you. Not sure where to start? Connect with us here and we’ll get started together.