Spending on coverage saves money lost on absences
Employers may up spending on coverage to cut cost
Some of the cost of health insurance might be offset by less cost associated with employee absences, according to occupational medicine studies.
Employees with continuous health insurance coverage have significantly less missed work time than uninsured workers, say two doctors with Thomas Jefferson University and Johns Hopkins Bloomberg School of Public Health.
Jennifer H. Lofland, PharmD, MPH, PhD, and Kevin D. Frick, PhD, report in the January issue of the Journal of Occupational and Environmental Medicine that fewer missed workdays should be considered among the potential financial benefits of providing health care for employees. Lofland and Frick analyzed data on about 26,000 employed U.S. adults. Missed workdays were compared for workers who did and did not have health insurance.
Fifty-four percent of the subjects reported some missed work time — an average of 4.3 workdays missed over the year preceding the survey year. Ninety percent of workers had health insurance for at least part of the year.
Insured workers had a significantly lower rate of missed work time. They also missed fewer total workdays compared with uninsured workers. Other characteristics associated with missed workdays included not being employed year-round, depression, and having a higher number of medical conditions.
The effects of access to and use of health care services were assessed, as well. Workers with better access to health care and higher use of health care services actually missed more workdays. This apparently contradictory finding might reflect a higher rate of presenteeism — days an employee is present at work but functioning at less than full capacity — among workers with lower access to health care.
As health care costs continue to rise, companies may look at employee health insurance programs as a target of cost-containment. Lofland and Frick suggest that in analyzing the costs and benefits of providing health insurance for all employees, companies should consider the impact on missed work time. The report on the study is available at: Lofland JH, Frick KD. Effect of health insurance on workplace absenteeism in the U.S. work force. J Occup Environ Med 2006;48:13-21.
Some of the cost of health insurance might be offset by less cost associated with employee absences, according to occupational medicine studies.You have reached your article limit for the month. Subscribe now to access this article plus other member-only content.
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