Monday, May 11, 2009

Incentives and Wellness Program Participation Rates

In its latest issue, the American Journal of Health Promotion published an interesting study regarding incentives and corporate wellness programs. It's an important issue for us, because we often advise clients that incentives drive participation rates. Some choose to pay their employees a nominal amount for being screened--usually less than $50. Others offer reduced health care premiums. 

Not surprisingly, the study showed that offering an incentive did increase participation rates. But the the authors also examined two additional elements: the strength of the communication strategy used to promote the program, and the level of overall commitment from management, something they called worksite culture. Effective communications and a robust culture of wellness magnified the results of any incentive offered.

Some key points from the study:
  • Nearly 50% of employers use incentives to encourage participation in their wellness programs.
  • A cash incentive under $100 resulted in the most dramatic increase in participation.
  • A strong culture of wellness, combined with a benefits-related incentive, resulted in the highest mean participation rate: 69.4%.

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