Health Management & Wellness: A Global Perspective

1. Health Management & Wellness: A Global Perspective Carl Redondo | Marion May

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3. Welcome and Introductions Carl Redondo Global Benefits Consulting Leader, UK 15 years with Aon Hewitt in London, Seoul, Hong Kong and Shanghai Helps multinationals and big locals with employee benefits issues around the World Marion May Senior Global Benefits Consultant, London 5 years with Aon Hewitt’s global benefits consulting practice Develops and implements strategic health and wellbeing solutions for clients Joining via Webex Approximately 150 clients from around Europe representing major multinationals

4. Agenda

5. The Coming Crisis in Global Health Delivery of health insurance benefits globally is under major financial pressure The reasons are as follows: Costs of health insurance is increasing by 3% - 5% above GDP in most markets around the World

6. Medical Trend Rates and Non-Communicable Diseases Increases in year on year costs for members of EU Source: European Commission Autumn 2013 Economic Forecast, Aon Hewitt 2013/4 Global Medical Trend Rate Survey Key causes of medical claims around the World Source: Aon Hewitt 2013/4 Global Medical Trend Rate Survey

7. Aon Hewitt Healthcare Study

8. 2011/12 Health Care Survey – Participant Profile A total of 1,028 individuals participated in Aon Hewitt’s 2011/12 Global Health Care Survey. The participant profile by overall worldwide employee size is as follows:

9. Health Strategy – Top 5 Desired Outcomes Participants asked to select top 3 desired outcomes

10. Health Strategy – Top 5 Challenges Participants asked to select top 3 biggest challenges

11. Health Strategy – Top 5 Priority Tactics All are wellness related activities Participants asked to select top 3 tactics to achieve strategy

12. Reduce Expenses – Absence Management Participants asked the metrics used to measure the impact of absence

13. Improve Workforce Health – Strategy Components Participants asked what the components are of workforce health strategy

14. Improve Workforce Health – Key Tactics

15. Improve Workforce Health – Future Trends

16. Total Health Management – Integrating Wellness and Absence

17. Wellness trends

18. Trends in Wellness Metrics and ROI Clear goal setting Trends Global Wellness Solution Employers’ responsibility 17

19. What do Recent Surveys Tell Us? 68% of respondents think their employer should take responsibility for their general health at work – British Heart Foundation Jan 2013 48%of employees said say stress negatively impacts their lives, and 17% say they get no support from their employer – Canada Life Feb 2013 78% of employers would consider contributing towards the cost of cancer screening for employees – Helm Godfrey Jun 2012 After introducing health-related benefits,83-89% respondents reported increased productivity, improved wellbeing and reduced sickness absence – Aviva Dec 2012 45% of respondents said long-term absence is a big concern and 22% indicated that it affected the business financially – Aviva Health Aug 2012

20. Global Recognition of Employer’s Role Dr. Maria Neira, Director, Department of Public Health and Environment, The World Health Organisation Definition of a Healthy Workplace A healthy workplace is one in which workers and managers collaborate to use a continual improvement process to protect and promote the health, safety and well-being of all workers and the sustainability of the workplace by considering the following, based on identified needs: • health and safety concerns in the physical work environment; • health, safety and well-being concerns in the psychosocial work environment including organization of work and workplace culture; • personal health resources in the workplace; and • ways of participating in the community to improve the health of workers, their families and other members of the community. “The wealth of business depends on the health of workers.”

21. The Growing Role of the Employer Employers say they share responsibility for their employees’ health 0% see this as only a government responsibility Source: Hewitt’s 2010 Global Health Promotion Survey

22. What are Employers Doing? Percentages of Companies with Programmes to Combat Non-Communicable Diseases Source: The Workplace Wellness Alliance. Delivering on Health and Productivity (2011) WEF

23. What are Employers Doing? Source: Aon Hewitt 2013 Health Care Survey

24. Goals - Why do Wellness? Improving morale Improving productivity Employee engagement Employer of choice Talent retention and attraction Reducing healthcare costs (direct and indirect) Reducing sickness / absence Social corporate responsibility Reducing presenteeism 23

25. What might a Global Wellness Programme look like? Generally, significant increase in interest among global companies and an increasing number are moving to action 3 Categories of Employers Global EAP/Challenge Lifestyle Focus Health and Wellbeing Model • A starting point • Relatively low cost and low risk • Reasonably mature marketplace • Some programme expansion possible through additional services • Solution driven by corporate; adopted locally • Primary focus is lifestyle behaviour modification (common: smoking cessation, nutrition, sleep, and exercise) • One-stop shop solutions are emerging - simplified administration • Solution driven by corporate – adopted locally • Broader philosophical view of health and wellbeing • Core components driven by corporate • Core programmes localised based on in country needs and risks • Significant emphasis on local programme expansion beyond the core

26. Wellness ROI Improved Outcomes Health metrics Building Engagement Engagement metrics ROI Productivity metrics Cost Reduction (indirect & direct)

27. Absence Management

28. Total Health Solution UK – A Case Study An outsourced absence recording and monitoring service, identifying absences for early intervention, providing support and advice to employees A specialist psychologist led service for stress related absences, providing initial assessment and treatment A specialist absence case management service where the referred absence is reviewed and actions are recommended to enable the employee to return to work at the earliest opportunity A service providing clinical advice and support to employers for employees with health problems that are impacting on work performance 24/7/365 confidential helpline offering lifestyle support and advice to employees. Services include short term counselling options and lifestyle support services such as debt management, legal information and child/elder care services A specialist service providing physiotherapy rehabilitation treatments

29. What does Absence Management Deliver ? Certainly: Insight into health risks Reliable absence data Lower absence rates Lower insurance premiums Return on investment Integrated view of health Reference point for wellness/preventative campaigns Potentially: Information about reasons for absence Improved employee engagement Healthier behaviours leading to employee wellbeing both physically and mentally

30. Conclusions

31. Why Focus on Health Management ? Good for Employees Good for the Organisation • Lower retention and recruitment costs • Lower temp agency costs • Better Health & Safety record • Good governance • Lower sickness absence • Lower sick pay • Lower long-term disability claims • Lower turnover

32. How Aon can Help? Wellness: Audit and strategy development Implementation Communication Monitoring Absence management: Audit and strategy development Implementation Communication Monitoring

33. Q&As