...is it still a Benefit? Donnalynn Sullivan Empire State College BME-213754 Organizational Strategy and Performance Instructor: David Morrell December 17, 2012 Table of Contents Table of Contents……………………………………………………………………………… 2 Abstract…………………………………………………………………………………………3 Healthcare, Is it Still a Benefit………………………………………………………………….4 The Reason Behind the Employee Benefit of Healthcare………………………………………5 Controlling Healthcare Costs, the Strategies and the Benefits…………………………………7 The Healthcare Reform…………………………………………………………………………9 Conclusion…………………………………………………………………………………….11 References…………………………………………………………………………………….12 Abstract This paper will address some of the issues and trends in health care as an employee benefit. “Employee benefits range dramatically between jobs and careers. Some jobs, such as those that pay minimum wage, do not provide employee benefits while others provide several benefits. Great employee benefits include a health insurance plan, dental insurance, vision insurance, life insurance and a retirement fund. Healthcare, is it still a Benefit? Health insurance ranks as the most important benefit that employees seek from an employer. This topic has been on the hot seat for most companies and employers. Health care costs are on the rise and companies are trying to find ways to combat it. How does this affect the employer/company? How does this affect the benefit offered to the...
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...are spent on health care related issues in the United States each year which is more than any other industrialized nation; the majority of the expense is related to treating and managing chronic diseases such as various types of cancers. The impact of the declining economy can be attributed to the significant rise in health care cost which has affected work productivity and reduced the quality of health care services (Wiseman, 2011). The paper will discuss the two major economic principles; Marginal analysis and opportunity cost that commonly used to underlie and evaluated the current health system of today. Marginal Analysis Marginal analysis in health care is defined as the examination of additional benefits or costs that arises from additional consumption of goods, in today’s health care industry more money is being spent on health related services because of the increase of supply and demand; to simplify the definition cost rise when the consumption of goods increase, it is the principle of economics that shifts or changes the mix of resources used in health care spending (Mitton & Donaldson, 2004). Marginal analysis in health care is the better option to use when prioritizing services or goods, prioritizing goods based on the total needs will lead to inefficient use of resources. Resource allocations in health organizations are generally conducted on the basis political patterns which can often lead to misuse of already limited resources and as the health care budget...
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... Strayer University HSA 505 Health Services Strategic Marketing Dr. Pica-Branco November 16, 2011 1. Describe the selection process you would use to make the most cost –effective and employee-friendly decision. One major objective of the new health reform law – the Patient Protection and Affordable Care Act (PPACA) is to ensure that the health insurance providers are regulated from driving up the cost of health insurance benefits. PPACA is supposed to allow families and businesses to choose the health coverage that is flexible and affordable. This new law applies to all health insurance plans. For example, in June 2010, the Department of Health and Human Services, Labor and the Treasury issued guidelines to enforce PPACA-which permitted children with pre-existing conditions gain coverage, and keep it, protect all Americans’ choice of doctors, and lifetime limits on care consumers may receive. (www.healthreform.gov). In order to select an employee benefit package for our company that is consistent with our current budget, cost-efficient and employee-friendly, our organization will conduct a comprehensive evaluation of the current benefit plan. Internally, our organization will review the current benefit plan and the need to maintain or purchase another plan that will be in line with our budget, cost efficiency and employee-friendliness. Additionally, the...
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...The Value and Cost of Adding Domestic Partner Benefits COMM/215 February 3, 2011 Dr. Blue Without a doubt, in a little more than a decade, domestic partner benefits have gone from virtually nonexistent to the predominant plan among the largest U.S. employers. More than 51 percent of Fortune 500 companies offer Domestic Partner Benefits; these employers have found an added greater value for them at minimal cost.Studies reveal employers who offer Domestic Partner Benefits are able to attract talented employees, increase employee morale, and experience low or minimal increase in cost. This research paper will reveal the Values of offering domestic partner benefits as well as address the Cost associated with it. Can Be Used to Attract Talented Employee Competitively: The value of offering domestic partner benefits is that it can be used as a powerful recruiting tool as well as to help retain talented and committed employees, according to the League of Minnesota Cities. Studies suggest that employees make decisions about job offers based on domestic partner benefits. Very skilled and highly trained workers may hold out for a company that offers domestic partner benefits. A benefit package that appeals to a diverse workforce gives employers an edge when it comes to recruiting. Also, there is value in the statement that offering the benefits makes about your company's acceptance of domestic partner relationships. Employee Enrollment is Minimal: While there is value in...
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...Definition Cost Consequences Analysis (CCA) is defined as a type of economic evaluation where various health outcomes are integrated besides to cost for each intervention, but there is no overall assessment of quality of life [1]. It is a form of Cost Benefit Analysis (CBA) which does not integrate all of the costs and benefits into the same unit; rather, it stands on different types of benefits that are not measurable in the same monetary terms [2]. This type of analysis accumulates costs for two or more options, whereas, the consequences are collected as multiple of outcomes pertaining to the two options, but measured to different extent [3]. Principle of CCA Before understanding the principle of CCA, firstly, we should have a clear understanding...
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...The Value and Cost of Adding Domestic Partner Benefits COMM/215 February 3, 2011 Without a doubt, in a little more than a decade, domestic partner benefits have gone from virtually nonexistent to the predominant plan among the largest U.S. employers. More than 51 percent of Fortune 500 companies offer Domestic Partner Benefits; these employers have found an added greater value for them at minimal cost.Studies reveal employers who offer Domestic Partner Benefits are able to attract talented employees, increase employee morale, and experience low or minimal increase in cost. This research paper will reveal the Values of offering domestic partner benefits as well as address the Cost associated with it. Can Be Used to Attract Talented Employee Competitively: The value of offering domestic partner benefits is that it can be used as a powerful recruiting tool as well as to help retain talented and committed employees, according to the League of Minnesota Cities. Studies suggest that employees make decisions about job offers based on domestic partner benefits. Very skilled and highly trained workers may hold out for a company that offers domestic partner benefits. A benefit package that appeals to a diverse workforce gives employers an edge when it comes to recruiting. Also, there is value in the statement that offering the benefits makes about your company's acceptance of domestic partner relationships. Employee Enrollment is Minimal: While there is value in offering...
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...2013 Unik Health Commissioners City of Oklahoma City 412 East 24th St. Oklahoma City, Oklahoma 75202 Dear Commissioners: The attached report requested by the Unik Health Commissioners in a letter to Smart Point Financial Consultants dated November 20, comprehensively illustrates the economic effects of providing child care benefits to your employees and to your company. The aim of this study is to enlighten you about issues associated with providing health care to your employees’ children so that you make advised decisions on the same. This study was done to assess the effect of three main areas as illustrated below. • The cost benefit analysis of adding employees childcare to Fake Name’s benefit program • The initial cost of initiating this program • The types of coverage alternatives that is available in the market and those that are most attractive to employees. For the purpose of this study, we performed both primary and secondary research. Our research involved conducting a thorough analysis of Smart Point’s financial statements to determine the affordability of this program. Besides verifying financial statements, interviews were carried out to assess the working conditions of the Smart Point’s employees. Secondary research involved examining various insurance companies and the policies they offer. The aim of performing our research on insurance companies was to assess what insurance companies do when insuring children's health care. The data...
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...the provision of health care services. One of the promises of cost-effectiveness analysis is that it can demonstrate how to maximize the health care benefits attainable within a specific budget.1,2 Despite this promise, cost-effectiveness analysis has been criticized for setting health care priorities in a way that violates people's values.3-5 For example, many people value equity in the distribution of health care resources, yet equity is not accounted for in cost-effectiveness analyses.6-13 A basic assumption of cost-effectiveness analysis is that one should always prefer a health care intervention that provides a population with more benefit per dollar than another intervention. However, sometimes budget constraints make it impossible to offer the most cost-effective intervention to everyone in the population, raising issues of equity.14 For example, suppose one has a fixed budget of $200,000 with which to screen a specific population for colon cancer. Test 1 costs $200,000 to offer to everyone in the population and prevents 1000 deaths from colon cancer. Test 2 costs $400,000 to offer to everyone and prevents 2200 deaths from colon cancer. Because of the budget, it is impossible to offer test 2 to everyone. However, it is possible to offer it to half the population, thereby exhausting the $200,000 budget and preventing 1100 deaths from colon cancer. Test 2 is more cost effective than test 1, because for the same number of dollars, it brings more benefit. With restrictions...
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...Journal of Health Economics journal homepage: www.elsevier.com/locate/econbase Moral hazard in insurance, value-based cost sharing, and the benefits of blissful ignorance Mark V. Pauly ∗ , Fredric E. Blavin Health Care Systems Department, The Wharton School, University of Pennsylvania, 3641 Locust Walk, Philadelphia, PA 19104-6218, United States a r t i c l e i n f o a b s t r a c t The conventional theory of optimal coinsurance rates for health insurance with moral hazard indicates that coinsurance should vary with the price responsiveness or price-elasticity of demand for different medical services. An alternative theory called “value-based cost sharing” indicates that coinsurance should be lower for services with higher (marginal) benefits relative to costs. This paper reconciles the two views. It shows that, if patient demands are based on correct information, optimal coinsurance is the same under either theory. If patient demands differ from informed demands, optimal coinsurance depends both on information imperfection and price responsiveness. Value-based cost sharing can be superior to providing information (even if the cost of information is minimal) when patient demands fall short of informed demands. An extended numerical example illustrates these points. © 2008 Published by Elsevier B.V. Article history: Received 17 August 2007 Received in revised form 20 June 2008 Accepted 8 July 2008 Available online 18 July 2008 JEL classification: I11 Keywords: Health...
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...Chapter 9 health and disability insurance |CHAPTER OVERVIEW | Planning a health insurance program needs careful study because the protection should be shaped to the needs of the individual or the family. However, the task is simplified for many families because a foundation for their coverage is already provided by group health insurance at work. We begin the chapter by recognizing the importance of health insurance in financial planning and define health insurance. Then we analyze the benefits and limitations of the various types of health insurance coverage. Private and governmental sources of health insurance and health care are presented next, with a complete coverage of health maintenance organizations (HMOs). Then, we discuss the importance of disability insurance in financial planning and identify its resources. Finally, we explore why the costs of health insurance and health care have been increasing and what is being done to curtail them. |LEARNING OBJECTIVES |CHAPTER SUMMARY | After studying this chapter, students will be able to: |Obj. 1 |Recognize the importance of health |Health insurance is protection that provides payments of benefits for a covered sickness | | |insurance in financial planning. |or injury. Health insurance should be a part of your overall insurance program to | |...
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...Resources Benefits Insurance Rhonda Richmond National American University Human Resource Management April 28, 2012 Abstract Benefits are only one part of Human Resource Management department or division of a company. There are several areas that Human Resource Management department involved in all departments an aspect of a business from performance management, insurance, compensation and benefits, training and development, employee relations, retention, and health and safety, involve also in hiring and firing of employee from what positions full time to part time packets in intake and outtake of employment of a business. The Human Resource manager typically plays three roles in an organization. These Human Resource manager roles are advisor, service, and control. Human Resource Management department involved in insurance compensation and benefits has evolved from small, medium, large and to the huge corporations have Human Resource managers and/or department have been evolving with the time from very simple to more complex benefit packages for their employees and play an important part of it is use as retention to keep employees. Human Resources Benefits- Insurance Human Resources management is the compensation and benefits are developing and maintaining a wage/salary structure, as well as a benefit system, Human Resources management department is responsible for ensuring that compensation and benefits are...
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...Health Insurance Guide Health Insurance Guide * What is health insurance? * How does health insurance work? * What are the different kinds of health insurance? * Individual mediclaim policy * Floater Policy * Critical illness policy * Overseas mediclaim policy * Student medical insurance * Tax saver * So, what kind of coverage can I get? * Accidental death benefit * Permanent and total disability cover * E opinion rider * Children's education allowance * How much does health insurance cost? * The no of people to be covered * Amount of coverage needed * Age of the oldest family member who is proposed to be covered * Can I get tax benefits with health insurance? * Are there any alternatives to health insurance? * Critical illness benefit * Hospital cash benefit * Things to watch out for What is Health Insurance ? Health Insurance also known as Mediclaim in India provides you the cover against the medical care costs arising from disease or accidental injuries. Health insurance is a crucial financial product that every individual must have irrespective of their age. It allows you to focus on getting the best treatment without bothering about the financial costs of the same. Depending on the terms of the health insurance policy it covers all or part of the medical costs of treating the disease or injury including doctor's...
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... Dr Retta Evans HAS 505 Essentials of Health Care Marketing. Strayed University Spring 2011 05/27/2011 The Consumer 2 Describe the selection process you would use to make the most cost effective and employee friendly decision. I would use to make the most cost effective and employee friendly decision depends upon how these benefits are best for their situations. Being able to design and administer a benefits program requires knowledge of many laws and an understanding of the field of insurance. Controlling costs of benefits takes a constant monitoring of the insurance plans that form the core of the benefits program. Two methods of dealing with administrative costs are to search for alternative funding methods and to develop a system of competitive bidding that ensures that the organization is using the best and most cost effective insurance plans. The employee benefit plan includes the different types of health insurance which can pick from and would be best for their situation. (Bridgeford 2088) This approach, however, can negatively affect both recruitment and retention. A more viable approach is to offer benefits that are less costly, but equally desirable. Companies can continue to offer attractive benefits by implementing some of the cost-containment strategies. Many organizations...
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...employee desires and needs can be a critical factor in employee access to programs. Ensuring that employees have a clear understanding of program offerings can increase employee productivity, decrease employer health related costs and loss of outputs while increasing the knowledge and buy in of employees. If employees have limited understanding of benefit programs and the programs themselves are obsolete to employee needs and current trends, the sponsoring organization is wasting financial resources and contributing to the potential decrease in employee productivity due to unmet health and wellness related needs. Martocchio (2014), discusses the responsibilities of benefit professionals as providing assistance to employees surrounding education on the various options of benefit programs as well as their need for expertise in designing and administering benefits programs. He further discusses the importance of benefit professionals remaining current on trends and innovative approaches to practices and development of benefit programs. The text additionally states that many employees have minimal understanding of the wordage and regulations attached to the components of the benefits packages. Traditional approaches to developing and marketing health and wellness benefit programs in the organizational culture can prove to be financially costly to employers and unbeneficial to employees. Traditional approaches have focused on the employee having to decipher things, read through...
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...Walmart Health Insurance Issue- Walmart pulls health care insurance from part-time workers and sends them to ObamaCare(some people cannot afford ObamaCare. Introduction: Health care reform is transforming the benefits landscape and affecting how all employers, including Walmart, administer health benefits coverage. The possible decision to discontinue health care benefits comes after careful consideration of the impact to Walmart’s part-time team members and to Walmart along with the new options available for the part-time team and the historically low number of team members who elected to enroll in the “part-time plan”. Additionally, Walmart has been considering new regulations on employer-sponsored health plans in order to lower the cost of medication for some patients, plus the requirement for large employers to cover full-timers starting next year. As a whole, it would make more sense for Walmart to apply their resources where they need to -- and for other populations, have them be available for the subsidies and other benefits from the Affordable Care Act. In fact, the Obamacare subsidies are generous enough that especially for a part-time worker it might actually be a better deal for the employer not to offer them coverage. Affordable and reliable health care is a vital benefit that every individual deserves. With three prime areas in Washington D.C., Maryland, and Virginia, we could create an effective and collaborative organization that fulfills the needs of lower-cost...
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