Health Policy and Management

You are the CEO of a for-profit healthcare firm. The characteristics of this firm are:

1.   1000 employees

2.   50% female and 50% male

3.   Age 18-65

4.   Benefits apply to all eligible employees, and are prorated based on Pt/FT status

5.   The firm is self-insured for healthcare and provides benefits but can include co-pays

You care about your employees and believe in preventive healthcare. You are also responsible for the financial health of the firm. You are going to present a report to the Board of Trustees for approval of a benefit of preventive healthcare for your employees.

Choose one of the following benefits

1.   Improving the fitness of the employee

2.   Maintenance of ideal body weight (this is almost always weight loss)

3.   Smoking cessation

4.   Routine preventive healthcare by the employee’s primary physician (commonly includes yearly physical exam, routine laboratory studies (comprehensive medical panel, lipid studies, thyroid evaluation, Pap smear/Prostate Specific Antigen), vaccinations, EKG). Do not evaluate or include more extensive screens such as mammography or colonoscopy.

In a 4-5 page paper (plus cover page and a page for the Executive Summary) discuss:

1.   What is included in the benefit.

2.   Brief review of the data underlying the benefit (who is affected, what proportion of your employees would need the benefit and an estimate of the number of employees will use the benefit based on industry norms, what is the effectiveness of the benefit).

3.   How will you incentivize the employee? (Usually monetary but not necessarily)

4.   What will be the cost of the benefit to the firm (direct and indirect)?

5.   How will you measure the use of the benefit and how will the incentive be paid?

6.   What will be the benefit to the firm? (While it may improve the public image of the firm or attract employees, you should attempt to evaluate the monetary benefit to the firm in things such as decreased healthcare costs, decreased sick time, etc.)

(This exercise is useful even if you find that these preventive strategies aren’t as effective as you would like. In other words, don’t reject a strategy because your literature search shows it isn’t effective.)

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