Click here for NJ Preventive Cardiology practice brochure

Employee Incentives with Discounted Premiums

Prevention and Wellness Provisions

Plan Date Announced March 18, 2010

Patient Protection and Affordable Care Act (P.L. 111-148) with amendments included in the Health Care and Education Reconciliation Act of 2010 (H.R. 4872)

Permit employers to offer employees rewards—in the form of premium discounts, waivers of cost-sharing requirements, or benefits that would otherwise not be provided—of up to 30% of the cost of coverage for participating in a wellness program and meeting certain health-related standards. Employers must offer an alternative standard for individuals for whom it is unreasonably difficult or inadvisable to meet the standard. The reward limit may be increased to 50% of the cost of coverage if deemed appropriate. (Effective January 1, 2014) Establish 10-state pilot programs by July 2014 to permit participating states to apply similar rewards for participating in wellness programs in the individual market and expand demonstrations in 2017 if effective. Require a report on the effectiveness and impact of wellness programs. (Report due three years following enactment)

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CEO wants even higher rewards ceiling

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Dr. LaBarthe, CDC Director of Heart disease and Stroke Prevention, cites good Return On Investment for Cholesterol Reduction

Click here to take the heart attack and stroke risk test.

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Just as there are incentives for employees to reduce health risk, many companies will penalize employees for choosing lifestyle that increased healthcare cost or for allowing preventable conditions remain untreated - smoking, high cholesterol, high blood pressure, etc.