Benefits Execs weigh in on what matters to them in 2014--everything from cost, transparency, medical outcomes, and more.

1. Employee Benefits Landscape Report
Grand Rounds surveyed Benefits Executives from large and small enterprises representing
a population of more than 280,000 employees, uncovering the biggest concerns, priorities
and innovations for benefits managers that employees should expect in 2014.

2. IT’S ALL ABOUT THE BENJAMINS
LOWERING HEALTHCARE COSTS IS THE NO. 1
PRIORITY FOR BENEFITS EXECUTIVES IN 2014
88%
Other priorities include:
Adding or changing wellness programs or incentives
68%
Compliance with new regulations
44%
Selecting benefits services that track ROI
24%
Finding better healthcare plans
16%
Providing better access to healthcare options for employees
16%

3. COSTS COME FROM ALL LIFE’S CURVE BALLS
Serious Illness Equals
Serious Costs
68 percent of costs are incurred from
serious illnesses such as cancer or
organ issues
68 percent of costs are incurred from
chronic illness such as
diabetes, which cause major losses
Preventable
Illness, Preventable
Costs
60 percent say illness due to poor
health habits (weight
issues, smoking etc.) are draining
the budget.
Accidental Costs
The Baby Boom
24 percent of costs are incurred
from injuries due to accidents
19 percent of costs are incurred from
healthcare associated with
motherhood (maternity, fertility, etc.)

4. THE UNTRACKED COST
These issues related to cost of employee health
have a price tag that goes beyond diagnosis and
treatment alone – employee absenteeism costs
companies billions each year. But…
88 percent of respondents do not track costs
incurred from employee absenteeism due to
health reasons
This begs the question: If costs are already so
high due to healthcare, how much higher would
these costs be if the total impact were calculated?

5. WELLNESS – MISPLACED ATTENTION?
CORPORATE INVESTMENT IN REDUCING COSTS RELATED TO
ABSENTEEISM OVERALL IS ON THE RISE.
The “It” Solution for 2014
•
Health and wellness programs are perceived as key to
keeping employees healthy (72 percent)
•
68 percent are prioritizing adding or changing a wellness
program in 2014
•
Health and wellness programs are seen as the leading
solution to lower costs (46 percent)
However, recent evidence from RAND proves wellness programs
do not result in cost savings:
•
Workplace wellness programs did not catch warning signs of
disease or improve health enough to prevent emergencies
•
Employees who participated in a wellness program had mild
savings that could be attributed to chance instead of the
program ($2.38 monthly savings in the first year)

6. EMPLOYEE EMPOWERMENT EMERGES
SOME EMPLOYERS ARE LOOKING TO NEVER-BEFORE-SEEN
SOLUTIONS TO HELP EMPLOYEES UNDERSTAND THEIR
HEALTH FROM TOP TO BOTTOM – BECOMING THE PIONEERS
OF THIS NASCENT EMPOWERMENT MOVEMENT.
According to RAND, disease management programs
had a much higher ROI than wellness programs –
$3.80 vs. $0.50
A Call for the Cure NOW
•
33 percent said Outcomes Management platforms are seen as a
new option for cost savings
•
9 percent plan on adding quality transparency tools for 2014
Honesty is The New Policy…When it Comes to Cost
Companies are recognizing their group buy-in power and 22 percent
say they’re adding cost transparency options for employee benefits in
2014

7. A PATH TO SUCCESS
INNOVATIVE COMPANIES ARE PROVIDING
PLATFORMS AND RESOURCES THAT ARE
CHANGING HOW BENEFITS EXECUTIVES
IMPROVE EMPLOYEE HEALTH AND
REDUCE OVERALL COSTS THROUGH
EMPLOYEE EMPOWERMENT.
Quality vs. Cost: Shifting the Mindset
Total cost goes up when “quick fixes” are used – the path to better health and
lower healthcare spending is through innovative, smart decisions around benefits.
The conversation should be about quality, not cost – with quality solutions
comes improved outcomes on all sides.

8. FIND OUT MORE ABOUT GRAND ROUNDS
grandroundshealth.com