Why Invest In Corporate Wellness?

• the news isn’t encouraging. According to Corporation Week, family health-care premiums increased 49% from 2000 to 2004.

Another increase of 12-15 percent is expected in 2005. General Motors expects to spend $5.6 billion on healthcare costs in 2005, or 40 percent more than it earned in profits in 2004.

• More research shows that poor diet andphysical inactivity are major drivers of increases in healthcare costs for businesss. the number of obese adults has doubled since the 1970s.

• the rise in obesity has a significant impact on health-care costs. on average, 2002 health-care costs for an obese person were $1,244 higher than for a person with a healthy weight.

• Obesity is causing rapid increases in type 2 diabetes and contributes directly to a 65 percent increase in diabetes treatment from 1987 to 2002. Nearly $1 of every $5 spent on healthcare in the U.S. is for a person with diabetes.

Treating employee healthcare as an investment, rather than a cost, can yield long-term dividends

• at least 50% of your organization’s health-care costs are driven by the lifestyle related behaviors of your employees, such as use of tobacco, poor diet, and lack of exercise.

• In the past 10 years, the annual return on investment for Wellness Programs has been as much as $6 saved for every $1 spent, doubling the return on investment of earlier programs.

• the average reduction in health-plan costs, sick time, disability costs, and workers’ compensation is more than 25 percent for well-designed Wellness Programs.

• Fit staff members are more productive staff members, with fewer sick days, fewer accidents, higher morale, and lower job turnover.