Becker's Hospital Review

Sign up for the COMPLIMENTARY Becker's Hospital Review CEO Report & CFO Report E-Weeklies at www.BeckersHospitalReview.com or call (800) 417-2035 outcomes. "Other things might be more local," says Mr. McMillan. "If you provide a direct relationship with an employer for obstetrics services or occupational medicine, those would be more of a local situation." Infrastructure. When payors are involved in population health models with employers or providers, they can meet an administrative need and handle claims adjudication. "But we've also seen models just between the providers and employer directly, cutting out the middle man," says Dr. Skea from PwC. "More often than not, those are typically [relationships] with a provider that has an insurance license and experience with population health." Employer-provider relationships do not have to come in parties of three, according to experts. While some models do have a payor involved, it's not a necessary component. But providers that do enter direct employer strategies may need insurance licenses, which can create complexity and extra planning, as the process can take up to 18 months. "Anything that holds promise for shared savings is attractive to employers," says W. Yale Miller, executive vice president of Nashville, Tenn.based Aegis Health Group. "I think providers have an opportunity to step into what might be an information void as opposed to saving that conversation for payors. If [providers] are proactive in talking with major employers, they stand to be in better position." Providers with prior experience have an advantage, but it's not too late Employers are well-suited to approach health systems that have demonstrated success with previous employer partnerships. Cleveland Clinic is exemplary in this respect, but smaller systems or hospitals may have fewer resources, still operate on fee-for-service payment models or are located in highly competitive markets. Not to fear, say experts. Even health systems with limited experience with employers haven't missed the boat. "In a funny way, even hospitals that haven't historically had employer-facing efforts are still well positioned at the end of the day. After all they too are employers, most of them large ones, facing the same health cost issues," says Pearson Talbert, president and CEO of Aegis Health Group, a hospital business development firm. "It's about refocusing from sick care to healthcare and then re-messaging what you already do." One of the richest opportunities for systems looking to expand relationships with employers HFAP 1039_Layout 1 10/4/11 4:05 PM Page 1 11 is to begin with their own workforces. The Deloitte survey found 62 percent of employers anticipate increasing their wellness and preventive health programs as part of their benefits strategy in the next three to five years. Companies will be more attractive to hospitals that have done the same and can point to the improved health of their own population. This is a multidimensional task, as hospitals have some of the least healthy employees in the country. A 2012 study by Truven Health Analytics found hospital employees are less healthy than the general workforce and cost more in healthcare spending. But by establishing a wellness program or other population health initiatives, systems can learn initial lessons about population management, finetune care processes and use the experience as a foundation for their population health strategy. There are other avenues for health systems that are relatively green in employer relationships. A hospital's occupational health department can serve as a natural extension to managing employees' health, according to Mr. Miller. "Second, if they're doing some sort of community-based education or health screenings, hospitals can think about redeploying those assets to some key employer groups and providing feedback to employers and their workforces. That's mutually beneficial sharing of information." n True Partnerships. " Our switch to HFAP was seamless. We began with a collegial and thorough survey process focused on quality and patient safety. Our relationship continues to be a cost-effective and educational partnership. " John M. Kosanovich, MD, MBA VPMA / Network Development Covenant HealthCare Saginaw, Michigan www.hfap.org info@hfap.org PUBLICATION: Becker's Hospital Review SIZE: Half Page 4/color APPEARANCE: 2011 Norcom Inc. 847-948-7762 theteam@norcomdesign.com

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