Benefits Think

Personalizing care for Type 2 diabetes

Employers across the country are confronting chronic diseases.

The CDC has already labeled chronic diseases like Type 2 diabetes, cancer and heart disease as “the public health challenge of the 21st century.” As healthcare costs eat up an ever-increasing share of the corporate budget, employers are seeking solutions that can provide value to their employees — and their medical spending — today and in the future.

Type 2 diabetes, in particular, remains one of the leading drivers of missed works days and lost productivity. In total, the disease is costing the U.S. more than $327 billion annually, according to the American Diabetes Association.

A recent survey by national benefits consultant Willis Towers Watson put the need, and employers’ appetite for solutions, in ever starker contrast. Only 19% of business leaders surveyed said their current well-being policy was effective in supporting and monitoring the impact of chronic diseases on employees. More than three in four planned to dedicate more resources to addressing diabetes by next year.

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Measuring blood sugar on finger - diabetes and glicemia concept
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This focus makes sense. The New England Journal of Medicine estimates that nearly half of the total cost of chronic disease in the U.S. in 2016 was attributable to the disease burden caused by obesity. Businesses have identified diabetes prevention as the benefits initiative having the strongest financial case, with diabetes management a close second, according to Castlight’s State of Digital Health 2018 Annual Report.

See also: Cigna, Omada Health expand diabetes prevention program

As a result, a deep roster of healthcare technologies have promised to address employers’ struggles with Type 2 diabetes, through either disease prevention or management programs. The National Business Group on Health reports that more than half of U.S. employers identified implementing more virtual care solutions as their top healthcare initiative in 2019. But the vast majority of those riding this technological wave lack evidence of effectiveness, or experience with implementation.

These solutions also arrive at a moment when employers are at, or beyond, capacity to manage vendors. Seventy-five percent of employers are already offering 10 or more programs; nearly half are already offering more than 15, according to Castlight’s report. Benefits leaders at these companies have an overwhelming number of options, as eligible employees are left to sift through an ocean of choices.

Now, mature digital health companies operating as care providers instead of vendors are partnering with health services companies to provide solutions that are turnkey for employers and highly personalized for the needs of at-risk individuals.

In this scenario, health services companies take the responsibility of a rigorous clinical review of potential solutions, manage technical integration with the digital health company and can offer the solution as a direct benefit to their employer accounts. In the case of diabetes prevention programs with full recognition from the CDC, these benefits can be offered to clinically appropriate individuals as a preventive benefit with no out-of-pocket cost.

Health services companies leverage medical affairs departments to ensure that potential solutions are confirmed to deliver results. Combined sales forces can bring the solution to market, directing it toward companies most in need of this help. The back end integration will minimize the implementation burden on businesses. The digital care provider can focus on core competencies of delivering personalized behavioral support with user experience at its center. Contracting can enable outcomes-based billing through medical claims – directly connecting billing to program participant results.

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