Southwire and Premise Health Receive National Recognition from the Pharmacy Benefit Management Institute for Integrated Care Model

Onsite education program improves medication adherence, drives better outcomes and lowers cost of care for diabetic population

Southwire, a leading manufacturer of residential, commercial and industrial utility electrical wire and cable, and direct healthcare company Premise Health today announced the Pharmacy Benefit Management Institute (PBMI) awarded both organizations the 2019 PBMI Excellence Award for Care Management Strategies. The award recognizes the Premise-led integrated care model for driving improved outcomes for Southwire’s population, resulting in better health and lower overall health care costs.

An innovative approach

The integrated care model unites convenient access to an onsite wellness center and pharmacy, an innovative diabetes management program and a high-touch approach to care to impact health care quality and cost.

The results are clear: In 2017, Southwire decreased its pharmacy spend by .4 percent, exceeding the published trends of the top four pharmacy benefits managers. In comparison, many similar employers experienced increases from 7 to 13 percent in the same year.

A cohort analysis of the total cost of care for individuals using the Southwire onsite wellness center and pharmacy, versus those accessing care in the community, demonstrated an overall per member per month savings of $272.

“Delivering care through an integrated model, where providers are connected through a single health record, allows us to work as a cohesive team and deliver value to Southwire’s population,” said Greg Baker, vice president of pharmacy services at Premise. “Our patient-centered approach results in more personalized care, leading to enhanced productivity and better outcomes.”

The primary drivers of lower costs include reduced inpatient readmissions, fewer emergency department visits and improved medication adherence. In addition, the pharmacist-led program helped reduce prescription drug prices by focusing on generic and lower cost alternatives.

“We are thrilled to honor both organizations this year with our Excellence Award,” said Jane Lutz, Executive Director, PBMI. “The successful collaboration between these two organizations resulted in a highly effective integrated care model that can be a great example of other plan sponsors in the industry who continue to look for creative ways to manage costs while at the same time offering convenient access to care for their members.”

A personalized approach to chronic conditions

A centerpiece of the Southwire approach to health care is a condition management program for diabetes. Through this program, a pharmacist meets with enrolled patients monthly to understand their unique situations and create personalized care plans, helping them manage this complex condition. The pharmacist also collaborates with the primary care providers at Southwire’s onsite wellness center to ensure the patient receives fully coordinated care.

This approach has resulted in significant cost savings for Southwire and its diabetic population. For employees who accessed the onsite wellness center and pharmacy, savings were $292 per member per month, compared to those who access care in the community.

Additional outcomes for Southwire’s population include:

  • Exceeded national averages for medication adherence performance for diabetes (80.2%), hypertension (86.2%) and dyslipidemia (87.1%)
  • Achieved 96.3% Hemoglobin A1c testing HEDIS measure
  • Lowered the cost of hypertension by $222 per member per month and of dyslipidemia by $118 per member per month

Diabetes is a major cause of concern for the U.S. population. Nearly 30 million Americans live with the condition. The total estimated cost of diagnosed diabetes has risen to $327 billion, which accounts for direct medical expenses and reduced productivity.

Employers take on a major part of this direct medical cost burden and face a significant indirect cost burden. Estimates show diabetes costs employers $3.3 billion due to increased absenteeism and $26.9 billion due to reduced productivity while at work.