Obesity costs businesses hundreds of billions of dollars each year in lost productivity and higher health-care expenses, and many employers face substantial impacts on their bottom line when a large share of employees are overweight or obese.
More than a third of U.S. adults are classified as obese, and obese workers often have additional chronic conditions that complicate treatment and recovery. Studies show workers with very high BMIs file more claims, and the medical and indemnity costs for those claims can be many times higher than for workers with normal BMIs.
Because the financial and operational effects are significant, employers should consider both prevention and risk management approaches when addressing obesity-related claims. Some companies pair workplace wellness incentives with insurance strategies like Loss Sensitive Casualty Programs to better align costs and outcomes.
Ways employers can reduce costs
- Develop a workplace wellness plan that may include reimbursing health-club memberships or offering incentives for employees who meet health goals.
- Focus risk-management efforts on health problems common among obese workers, such as lower-extremity injuries and lower-back pain, and create return-to-work plans tailored to those risks.
- Offer health screenings at the workplace to identify comorbidities like diabetes, high blood pressure, and high cholesterol so conditions can be managed early.
- Provide or identify furniture and equipment designed for larger workers to reduce injury risk and improve comfort on the job.
- Be proactive in accommodating injured obese workers to shorten claim duration and reduce overall costs.
Employers can also support healthier choices at work by offering better food options and educational resources; for example, programs and materials that promote healthier snacks and weight-management strategies can complement risk-management efforts and help lower long-term costs related to employee health and claims, such as information found in Healthy Snacks for Weight Loss and Insurance Savings.
Being proactive about prevention, early detection of comorbidities, and reasonable workplace accommodations is the best way to limit the financial and human impact of obesity on your organization. If you need help reviewing options, consider talking to an agent.
Frequently Asked Questions
How can a workplace wellness program help reduce costs?
Wellness programs can improve employee health, reduce chronic conditions, and lower the frequency and severity of claims, which in turn can reduce both medical and indirect costs for employers.
Are health screenings at work effective?
On-site screenings can identify conditions early and connect employees with care, which often prevents more serious health issues and larger claims later.
What kinds of accommodations help injured obese workers return to work?
Temporary duty modifications, ergonomic furniture or equipment, and graduated return-to-work schedules can all help injured workers return sooner and reduce claim duration.
Can insurance programs be tailored to address obesity-related claims?
Yes; some insurance and risk-sharing arrangements are designed to align incentives and costs with an employer’s claims experience and wellness efforts.