CalsonicKansei North America, Inc.’s New Health Management Initiative Reduces Healthcare Costs 9.9% In First Year

Shelbyville, TN  (Profitable.com) Nissan’s largest supplier in the U.S., CalsonicKansei North America, Inc. announced today the implementation of an employee health management program resulted in a 9.9% reduction from expected 2011-2012 healthcare spend, and a 17% decrease from Mercer projections .

The 9.9% savings transpired despite increased investment in primary care services including a company-wide extensive health screening known as a Health and Behavior Assessment (HBA). More than 90% of employees and spouses voluntarily engaged in the program which produced staggering results.

The HBAs identified more than 700 at-risk participants including 146 diabetic patients, 212 pre-diabetics and, 321 high blood pressure patients. Many of these diagnoses were previously unknown and may have likely resulted in a hospitalization. Thanks to early detection CalsonicKansei expects the cost avoidance from the HBAs to even further reduce its health care spend over the next two years, while employees become healthier and receive coaching from high performing physicians.

“The strategy of the CalsonicKansei benefit plan is to have a top tier benefit plan for their team members. This strategy has enhanced our ability to recruit and retain high quality team members,” stated Robert Masteller, Vice-President, Human Resources and Legal, CalsonicKansei North America, Inc. CalsonicKansei has been successful in holding the cost of their health plan level for the previous six years through a combination of benefit plan design changes, cost sharing to employees, and implementing on-site clinics with in-house pharmacy. This is the first significant reduction in benefit cost, which occurred while reducing the out-of-pocket expenses of their employees.

CalsonicKansei credits Employer Advantage Health Care Solutions (EAHCS) for their improved health at reduced costs to both the company and its employees. EAHCS’ patent-pending health management program is the brainchild of a Middle Tennessee physician, a Masters in Human Resources and an MBA all with vast healthcare experience.

“This innovative approach to healthcare is a turn-key solution which our team members really believe in,” “EAHCS has given us both, higher quality and lower costs. The innovative approach to primary care practices and our on-site clinics has improved recruiting, retention and morale of our team members. And we didn’t have to change our insurance carrier or our benefits broker/consultant.” said Masteller.

EAHCS’ patent-pending intervention is built on four pillars: actionable data, provider alignment, member targeting, and network re-engineering. “We turn piles of useless claims data into meaningful health information and share it with top primary care physicians who are ultimately held accountable,” said Dr. William Noah, CEO of EAHCS. “We leverage our data to focus top-tier physicians on the members who are most in need of better care, resulting in the highest quality services at the most appropriate cost.”

Claims history suggests that for larger employers typically 12 to 20% of their members (employees and dependents) spend nearly 80 to 85% of their health care dollars, with approximately 16% of that care being ineffective and inefficient. The majority of these dollars go to hospitals and hospital based systems. EAHCS believes that providing enhanced primary care services, especially for high-risk members, significant health care cost can be avoided while improving the health and quality of life of the members.

“Transparency is a key element that we appreciate with EAHCS’ revolutionary approach,” said Masteller. “Previously, we could only evaluate our benefits plan design annually. Now we have complete transparency, and we can manage our health care just like any other business process. We can now make adjustments to our plan without waiting for year-end open enrollment. This has been good for us, and our team members.”

EAHCS’ three-part HBA not only allows a provider to better manage the health of a particular employee, but allows CalsonicKansei to manage the health of their entire population, and the associated cost. The HBA, similar to a health risk assessment, includes an online questionnaire, biometrics (height, weight, neck circumference, and blood pressure) and a blood draw (screening for Diabetes and cholesterol), and then a preventative visit to a recommended primary care provider (physician or nurse) to review the results and create an individualized health plan for that member.

“Our current savings are based on more efficient, higher quality primary care, not the HBAs,” said Masteller. “But our cost avoidance from the HBAs over the next two years will significantly further reduce our costs and create healthier team members and dependents. This is truly a win win situation for our team members and CalsonicKansei.”

CalsonicKansei North America, Inc. manufactures car air conditioning and heating systems, exhaust systems, interior plastics, HVAC, radiators, cooling fans, and other related automotive components. The company also offers services including engineering, testing and development, as well as testing labs. CalsonicKansei North America is a wholly-owned subsidiary of Japan’s Calsonic Kansei Corporation (approximately 40% controlled by Nissan Motor Co.). The company began operations in 1976 at a plant in Irvine, California. Today CalsonicKansei has 10 factories in Mississippi, Tennessee, Mexico, as well as a Research and Development facility in Michigan

EAHCS formed in 2011 with the sole purpose of helping employers lower the cost of employing people. EAHCS has established turn-key systems that control the cost of health care through investing in high-performing primary care to help employees and their families improve their health circumstance. EAHCS has offices in Tennessee and New York. Find more information at http://www.eahcs.com.