Welch Allyn Creates More Than $1.3 Million in Net Health and Productivity Savings with RedBrick Health

RedBrick Health

More than 60 percent of employees actively engaged in health enhancement programs; individuals earn up to $575 in 2012 health insurance premium reductions

Physical activity levels up 41 percent, tobacco use down 20 percent with RedBrick Health

MINNEAPOLIS (May 3, 2011) -
Employers have made health and wellness programs a critical corporate strategy to mitigate rising health care costs. However, many have found their efforts fall short in creating broad-based and sustained engagement. Welch Allyn, a leading manufacturer of innovative medical devices, is proof an approach that blends personal, financial and social elements can be a game-changer.

Since first partnering with RedBrick Health in 2007, Welch Allyn has seen:

  • Estimated $1.32 million in total health and productivity savings over two years ($443 annually per participant); a 3:1 return on investment based on a RedBrick book-of-business ROI analysis.
  • Sustained and increasing program engagement rates from 62 to 69 percent year-over-year.
  • Social health games and competitions have helped reduce the number of employees at risk for a lack of physical activity by 18 percent.
  • Reductions in weight and BMI for over 60 percent of those in telephonic coaching programs in 2010.
  • A 20 percent reduction in tobacco use since 2007.

Transforming Health
Welch Allyn wanted to control rising health care costs and deepen its culture of health. RedBrick helped Welch Allyn transform how the company finances employee health care through an aligned model that has driven broad-based and increased employee engagement over time.

"As someone with Type 2 diabetes, my doctor had been encouraging me to lose weight and eat better. I wanted to make changes, but it was hard to find the time and the motivation," said Randy Hall, a service engineer at Welch Allyn. "Getting involved in RedBrick programs helped me lose more than 50 pounds and get my A1C under control. The walking challenges made it easy for me to stay active, and the phone coaching and monthly reminders keep me on track. I look and feel great."

RedBrick's platform combines advanced data integration, behavioral economics, social engagement strategies and financial rewards that drive broad-based engagement and health behavior change. In one recent RedBrick social health game focused on physical activity, nearly 800 Welch Allyn employees across 15 international locations participated, tracking more than 3.2 million minutes of activity.

Changing the Finance of Health Care
Welch Allyn is changing how it finances employee health care. With increased engagement comes greater opportunity for employees to earn financial rewards and take more ownership of their health. In 2011, Welch Allyn employees can earn up to a $575 reduction in health insurance premiums in exchange for taking greater accountability and engaging in healthy behaviors. Every Welch Allyn employee, regardless of health status, has equal opportunity to earn reductions in their health insurance premiums.

"Educating individuals on how personal behavior and health impacts our company's overall performance spurred change among our employees. We're actively building a culture in which we all have a stake in managing health care costs, from the top-down and bottom-up," said Jeff Viviano, director of global HR operations and benefits at Welch Allyn. "Working with RedBrick, we created a financial framework that transcends simple incentives and grants employees greater control of their health. It changed how we finance health care and generated a system that rewards employees in a fair and sustainable way. The best part is that people are adopting healthy behaviors and lifestyles; wellness is working at Welch Allyn."

Welch Allyn will soon implement a new RedBrick second generation rewards model that allows employees to earn incremental rewards for small, achievable steps towards better health, a strategy that aims to overcome obstacles that inhibit individuals from taking their first step toward better health. In addition, Welch Allyn is considering an opportunity to reward employees for achieving specific biometric health outcomes related to BMI, cholesterol, blood pressure and nutrition, in addition to rewarding employees for participating in health enhancement programs.

"It takes commitment to make employee health initiatives work overtime, and Welch Allyn flat out has it," said Kyle Rolfing, CEO of RedBrick Health. "The company is starting to really see the impact of its efforts. It's validating to witness that the company's culture and employees are the driving catalyst for positive change and hard ROI; RedBrick Health is honored to work with a market leader like Welch Allyn to help make that happen."

Additional information about Welch Allyn's success is available on RedBrick Health's website.

About Welch Allyn

Founded in 1915 and headquartered in Skaneateles Falls, NY (USA), Welch Allyn is a leading global provider of medical diagnostic equipment and a complete range of digital and connected solutions. With 2,600 employees working in 26 different countries, Welch Allyn is a family-owned business that specializes in helping doctors, nurses, and other frontline practitioners across the globe provide the best patient care by developing innovative products, breakthrough technologies, and cutting-edge solutions that help them see more patients, detect more conditions, and improve more lives. More information about Welch Allyn and its complete line of connected products and solutions may be found at www.welchallyn.com.

About RedBrick Health

RedBrick Health is a health technology and services company that drives sustained engagement in health improvement programs through constant innovation and deep consumer insight. The company's health engagement platform blends a fresh, personalized consumer experience, impactful social networking tools and rewards that link individual financing to healthy behaviors. As a result, RedBrick Health delivers employers engagement rates far exceeding industry norms and the ability to fairly and responsibly control costs through increased employee accountability. Founded in 2006 and headquartered in Minneapolis, RedBrick Health serves large, self-insured employers and strategic distribution partners. Visit RedBrick Health at redbrickhealth.com, read more at healthinnovationblog.com or follow the company at twitter.com/redbrickhealth.


Toccara Torres
Haberman (for RedBrick Health)