Why Wellness Plans are So Important

More workplaces are beginning to consider the benefits of offering wellness plans and wellness programs for employees. This blog post defines a workplace wellness program as well as explains why this type of program provides a significant set of benefits, delivering a sizable return for companies that invest in these plans and programs.

Defining Workplace Wellness Programs

Workplace wellness involves both education and specific health and wellness-relate activities that a company can offer to promote healthy lifestyles for their staff as well as their families. Examples of wellness programs and plans include everything from health education classes, subsidized fitness facilities and wellness treatment, company policies that promote healthy actions and behaviors and plans that help offset the expense that a wellness lifestyle can create.

Why Support Workplace Wellness?

In the past, companies may not have valued the real benefit of a wellness plan for their staff, thinking that it was not something that truly impacted their bottom line, talent retention, and competitive advantages. Now, there are some significant benefits that have been proven by those organizations that have adopted such wellness plans and programs:

·         Wellness programs lower health care costs. Companies can reduce their health care costs, which have steadily been on the rise in recent years, because wellness programs have been shown to make happy and healthy employees. From on-site massages and health fairs to programs that help employees stop smoking, lose weight, and change their diets.   The result is that healthier employees will then reduce insurance rates due to fewer claims. 

·         Wellness programs stimulate productivity. Studies indicate that those employees who have an employer that is focused on their health will have more energy from enjoying a balanced life, so that this translates in an increased level of productivity.

·         Wellness plans improve morale and help with talent retention. Another byproduct of this energy and health is that employees feel good and they appreciate that their employers value their health and well-being by investing in them. This leads to lower absentee rates and talent that is more likely to stay with the company than leave.

·         Wellness plans build a better company reputation. Companies that offer such wellness plans are often on those lists of great places to work, which sends a message about the company’s operating philosophy and that then enhances their brand and overall perception with clients, potential customers, the media and recruits. Attracting new clients and talent is well worth the investment in a wellness program.

Reporting on the Advantages

A recent article on CNBC noted some of the many advantages of wellness plans. The article discussed a survey by the Principal Financial Group, which noted that “employees enrolled in workplace wellness programs report reduced personal healthcare costs, most commonly because of fitness center discounts and free preventative screenings.”

Their research reported that medical costs improved “by an average of $3.27 and absenteeism costs improve by an average of $2.73 for every dollar spent on wellness.” Additionally, of the 1,121 wellness program participants surveyed, “over half said they are more productive as a result; 40 percent agreed that wellness programs encourage them to stay with their company, and over a third said they have missed fewer days of work.”

Employers need to create wellness programs that offer both education and wellness resources as well as tangible activities like onsite fitness centers, in-house flu shots, and nutritionists. Employees also need a life-work balance strategy where employers provide other services that help them have more balanced lives, such as flex-time, telecommuting, and onsite daycare facilities or services that help alleviate stress. All of these tactics combine to make a comprehensive program that covers physical and emotional well-being.

Want to learn more? Do you have questions about wellness plans? Leave your comment or question below and we’ll be happy to provide answers.

Top Reasons Why You Should Review Your Liability Insurance

There are many reasons why it is a good idea to regularly review your business liability insurance.  This blog post provides some key reasons why you should think about reviewing the liability insurance policy as it is set to expire rather than simply renew it. After all, a simple review could truly benefit your business. Here’s how.

Reason 1: It Could Save You Money

Every business is constantly looking at ways to save money and you could uncover savings when reviewing your premium – from the overall price to the lack of good coverage limits that might lead to more expense if faced with potential claims. Even if you have to raise what you pay, it can protect you if you are otherwise underinsured.

Reason 2: Your Business Undergoes Changes

Every business goes through changes throughout the year, including adding employees or cutting back. Even a growing business can be subject to new risks just by the very nature of taking on more work, staff, and clientele. You may have also expanded your clients, which would mean you could use more liability insurance coverage.

Maybe you have even decided to change your business offering and enter a different line of work, which could require different types of liability insurance coverage. Whenever these changes occur, you don’t want to wait until the policy is due to expire. In this case, you might want to undergo a quarterly review of your business liability insurance.

Reason 3: Local Insurance Requirements Have Changed

You may not be the only one going through change. As you are driven to follow certain local requirements, if these change in regards to the type and amount of insurance coverage, you also will need to review your liability insurance policy. Once you receive a notice about new local requirements, it is good to consult with your agent as quickly as possible so you know what this means for your coverage.  

Things to Consider on Why to Act Now

It is quite common for businesses to put these kinds of needs on the back burner as they try to just handle the daily issues that crop up. Soon, despite their efforts to grow, be competitive, and develop a  good reputation in the community, something unforeseen happens and they are caught short by not looking at the potential risks in not regularly reviewing their business liability insurance.

Think about what a claim could do to your business:

·         How would this impact your business during a busy period?

·         What would it do to your brand and reputation?

·         What might happen to your profit preservation if this occurred?

·         If a major loss occurred, what would happen if it forced you to shut your business while it was sorted out?

 How Linton Can Help

To help you ensure that this does not happen to you, we are here to help you by conducting regular reviews of your business liability insurance.  We can assist you by showing you: What is at stake if you did not have the right level of coverage; What your insurance policy currently covers and what might need to be changed; and What changes in your business you should look out for as a signal to review your business liability insurance.

Do you have questions? Be sure to leave them here or call our office if you need more assistance.

Highlights from Linton & Associate’s 2011 Annual Benefits Update Presentation

One of the main objectives at Linton & Associates is to provide up-to-date and comprehensive information for clients to help them make better decisions about their employee benefits. We do this through many channels, but our regular presentations on benefits offers an overview of the current trends and information that impacts employee benefits.

Radical Changes Coming in 2012

As more employers are concerned with what they feel will be radical changes this year, it is more important, now more than ever, to give companies the right information that they can understand and that will help them. For instance, a June 2011 McKinsey Quarterly article, entitled, “How US health care reform will affect employee benefits,” some interesting findings were noted in their research:

Our research suggests that when employers become more aware of the new economic and social incentives embedded in the law and of the option to restructure benefits beyond dropping or keeping them, many will make dramatic changes.

These changes will then spillover into the insurance marketplace, causing further changes and need for guidance. As the article stated:

To serve employers, insurers must retool their business models to provide more consultative support during the transition and develop innovative approaches to support employers’ new benefit strategies (see sidebar “Implications for health insurers”). For employers and insurers, success after 2014 will require a better understanding of employee and employer segments, and the development of the right capabilities and partnerships to manage the transition. 

Topics of Interest Covered

Now available is Linton & Associates’ 2011 annual benefits presentation found on our current website. In it, we have covered a wide range of topics that may interest you. Topics covered in the presentation include:

• New Mexico health carriers.
• Health reform update news for what happened in 2010 and throughout 2011 to provide a snapshot of how these changes impact employers and employees in terms of health insurance as well as other types of employee benefits.
• An insight into what kinds of changes and impact will occur in 2012 related to health care reform.
• Heath reform in New Mexico and how these state changes impact on employers, including the potential advantages and information on the Consumer Assistance Program.
• Local New Mexico legislative updates in terms of the balance of power and the overall political climate as it affects local businesses, large and small, related to redistricting and local decision-making.
• Federal legislative updates that also impact on local New Mexico employers as well as those located in nearby states.
• Information on the American Jobs Act 2011 and what it means for employers.
• Outline information about the Genetic Information Nondiscrimination Act (GINA).
• A list of resources and links to find additional information that relates to these topics and helps businesses and individuals understand the issues involved in employee benefits today.

Our Consultative Approach

We are here to answer your questions about how health reform and other legislative changes will impact upon your business and the type of employee benefits you can offer so you stay within your budget but do so without losing your top talent. Please leave your questions here or contact us directly so we can provide personalized consulting about your employee benefits challenges and needs.

The Benefit of Offering and Promoting Employee Assistance Programs in the Workplace

A recent article by Matt Krumrie, a Monster.com contributing writer, entitled, “Utilize employee assistance programs,” noted some key reasons why more companies should offer and promote the availability of employee assistance programs. Having top talent doesn’t always mean that life is perfect for those employees. 

Often, they may be struggling with other problems outside of work that they are afraid to share with their employers out of fear that they might lose their jobs like stress, domestic problems, mental health issues or even substance abuse.

However, an employer that recognizes their employees as integral assets to the organization can help all their workers deal with problems that are silently impacting them or that may even, if left untreated, start to interfere with their productivity. Such private concerns can be addressed through “employee assistance programs designed to help employees identify and resolve personal concerns.”

The Value of EAPs

According to the article, here is what employee assistance programs (also known as EAPs) can do:

• Help individual workers and their family members confidentially access professional counselors for a variety of issues related to challenges that impact their personal and professional lives. Think of it as a “safe haven.”
• Assist workers to remain productive by offering practical ways to handle stress and other problems that could adversely affect their on-the-job performance.

While the benefits of encouraging employees to use this program can be clearly seen in terms of productivity gains, there are other reasons why more employers should ensure their staff know that these programs are available. Here’s why:

“According to the Department of Labor study "What Works: Workplaces without Drugs," for every dollar invested in an EAP, employers generally save anywhere from $5 to $16.”

This was reinforced by data from Interface EAP:

• 66% decline in absenteeism after alcohol abusers were identified and treated;
• 75% reduction in inpatient alcohol and other drug abuse treatment costs;
• 33% decline in use of sickness benefits;
• 65% decrease in work-related accidents;
• 30% drop in workers' compensation claims.

This illustrates what can be a significant cost savings and return on investment if a company decides to offer an employee assistance program.

Further Reasons EAPs are a “Safe Haven”

Employees can feel assured that their involvement can and will remain confidential. In fact, there are state and federal laws in place to protect workers if they need to ask for help and utilize an EAP. This means it is then up to the organization to ensure that they take the time to educate employees on the reasons to use a program but then put all measures in place to ensure that every member of the team has their privacy guaranteed if they do chose to use such a program.

Ideas on Promoting EAPs in the Workplace

Communication is the key to sharing this type of program with your staff. Here are some ways to introduce the topic and make your talent feel comfortable:

• Introduce it as part of a New Year’s message where you encourage your staff to make and keep resolutions for the New Year.
• Incorporate it in messages about company culture and the emphasis on health and well-being, including having happy, balanced lives as part of the main goal in the company.
• Provide literature on the employee assistance program to all employees through Human Resources.
• Emphasize that the company wants to help, not punish anyone that may need help or has a problem they are afraid to share; then, offer the framework for how any confidential issues will be addressed to reassure your staff.

Here to Help

Those of us at Linton & Associates are here to help you include and leverage an employee assistance program to ensure that all your talent is healthy and happy. Please submit any questions below on how this type of program can benefit you and your staff.

Linton & Associates - Employee Benefits Specialists

Linton & Associates

Albuquerque's Premier Employee Benefits Specialists!

(505) 247-1530

Welcome to our blog. Linton and Associates has been proudly serving the New Mexico business community for more than 20 years. Our main offices are located at 1024 Central Avenue SW, Albuquerque, New Mexico 87120. We serve more than 160 employer groups and over 700 individual clients. Please let us know how we might be of service to your firm.