More Companies Opening On-Site Clinics To Help Manage Rising Health Costs

The Washington Post on Monday examined how more U.S. companies are opening on-site health clinics "in an attempt to manage soaring costs and to increase productivity by cutting down on the time away from desks for doctor visits." About one-quarter of Fortune 1000 companies are expected to have on-site clinics by the end of next year, compared with 15% that have them now, according to David Beech, a health care benefits consultant at Watson Wyatt Worldwide. Rising health insurance premiums "have helped nourish the trend," the Post reports. According to the 2006 Employer Health Benefits Survey by the Kaiser Family Foundation and the Health Research and Educational Trust, health premiums rose 7.7% in 2006. Services at in-house clinics can include physicals, allergy shots, pregnancy tests and general consultations, often with no copayments required. Employees are encouraged to maintain a relationship with their primary care physicians and are advised to seek treatment elsewhere for more serious conditions. Freddie Mac, which hired Cleveland-based Whole Health to manage its wellness programs, has estimated savings of $686,000 in direct costs last year. With added productivity from employees who are able to receive more convenient care, the company estimated savings at $900,000. Whole Health CEO Jim Hummer said, "We can help you achieve a healthier workforce that consumes less health care services and is more productive" (Joyce, Washington Post, 10/9).

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