News in brief - July 9, 2007

Cigna starts health coaching - Survey: Employers don't measure ROI of health programs - Manufacturers join call for IT - RediClinic to start accepting Medicare - U.K. health IT chief resigns - Athenahealth files for IPO

Cigna starts health coaching

Cigna has announced that on Sept. 1 it will begin a new health coaching program to focus on lifestyle choices and prevention.

Cigna's personal health coaches will be available to help members better manage stress, achieve their ideal weight and quit smoking.

The program is similar to those started by other plans, as more insurers focus on prevention as a way to lower health care costs.

The coaches will help members lose weight by developing an individual eating plan; help reduce stress by addressing physical activity, nutrition, sleep and relaxation techniques; and help smokers to quit through smoking cessation programs offering group and individual coaching as well as over-the-counter nicotine replacement therapy, such as a patch or gum, available at no charge.

The programs will be offered in both English and Spanish.

Survey: Employers don't measure ROI of health programs

Though major U.S. employers are offering incentives more frequently to encourage employee participation in health programs, most of the employers aren't measuring the programs' return on investment, a survey found.

Sixty-two percent of the 242 surveyed companies said that although ROI is important, they hadn't calculated it. Of those who did measure ROI, more than 75% said they profited, according to the survey, which was revealed at the annual meeting of America's Health Insurance Plans.

The survey was conducted by the ERISA Industry Committee, the National Assn. of Manufacturers and IncentOne Inc.

Edwina Rogers, vice president of health policy for ERIC, said the survey indicated a need for companies to track the ROI of employee health, wellness and productivity programs.

Michael Dermer, president and CEO of IncentOne, which offers incentive solutions for businesses, said the first step in measuring ROI was encouraging employee participation in the programs.

"We know if we get individuals to participate, the cost savings will be there," he said. "It's a simple message of be healthier and be rewarded."

The survey also found that three-fourths of employers offer employees health management programs, and two-thirds of those employers offer incentives to participate. Forty percent of companies offer premium reductions as the incentive; 29% offer cash or bonuses.

The companies said maintaining employee motivation is the most challenging part of health management programs.

Manufacturers join call for IT

The National Assn. of Manufacturers joined former Rep. Nancy Johnson and former Sen. John Breaux in creating a coalition to push for the rapid deployment of health information technology.

The newly formed coalition, which also includes patients, physicians and employers, is advocating federal legislation that includes establishing guidelines for health IT systems; federal financial incentives; the use of electronic medical records; and a federal-state process to resolve policy issues.

RediClinic to start accepting Medicare

RediClinic, a Houston-based chain of retail clinics, has signed a provider agreement with the Centers for Medicare & Medicaid Services to accept traditional Medicare in all RediClinic locations. RediClinic operates in-store convenience clinics inside H-E-B, Walgreen and Wal-Mart stores. Web Golinkin, RediClinic's president and chief executive officer, said in a prepared statement that Medicare patients already make up 10% of RediClinic's customer base.

Tine Hansen-Turton, executive director of the Convenient Care Assn., a trade group for retail-based clinic operators, said that many of CCA's members are pursuing partnerships with Medicare. Several private insurers, as well as those offering Medicare Advantage Plans, have also signed provider agreements, making it easier for members to take advantage of the clinics.

U.K. health IT chief resigns

Amid calls for a full-on investigation into the United Kingdom's delayed national program for health IT, called Connecting for Health, under way by the National Health Service, the project's chief executive, Richard Granger, has resigned.

Granger was reportedly the U.K.'s highest paid civil servant

The plan, which started in 2002 and is nowhere near completion, has become very unpopular in the U.K. It has been plagued by missed deadlines, vendors pulling out and physicians complaining that they were not informed as to how the program would be implemented. The plan initially was budgeted at $11 billion, but recent reports show a current price tag of $24.6 billion.

In a prepared statement, Granger said his last day would be in October and that his departure is consistent with his initial commitment of five years.

He also acknowledged "a number of challenges ahead, but I firmly believe that the leadership of the programme by Lord Hunt, David Nicholson and my colleagues within NHS CFH will ensure these hurdles are overcome."

Athenahealth files for IPO

Athenahealth Inc., a Watertown, Mass.-based claims processing company, on June 24 announced that it had filed to launch an initial public offering.

The company filed a registration statement with the Securities and Exchange Commission for a proposed offering of its common stock to be traded on the Nasdaq Global Market. The date of the IPO's launch has not been determined.

Vote refines AMA stance on health reform
The AMA House of Delegates rejected attempts to rescind support of a U.S. House health reform bill and any new government-sponsored health insurance plan during the 2009 Interim Meeting.
Story - AMA House - Slideshow