More U.S. Companies Open Onsite Health Clinics As Part Of Effort To Reduce Health Care Costs

Main Category: Health Insurance / Medical Insurance
Also Included In: Public Health
Article Date: 31 Aug 2007 - 8:00 PDT

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An increased number of U.S. companies have opened onsite health clinics for employees as part of an effort to "reign in rising health care costs," Gannett/Asbury Park Press reports. About 23% of companies with at least 1,000 employees have opened onsite health clinics, and an additional 6% plan to open such clinics in the next year, according to a survey released earlier this year by Watson Wyatt Worldwide. Toyota Motor, Pepsi Bottling Group, Credit Suisse and Sprint Nextel all recently have opened or expanded onsite health clinics.

According to Gannett/Press, onsite health clinics "provide convenience for workers, diagnose potentially dangerous and costly health problems earlier and increase productivity by reducing time away from work."

Some companies offer financial incentives to employees who use the onsite health clinics, such as reduced copayments and deductibles. About 35% to 50% of employees at companies with onsite health clinics use the facilities, Marne Bell, a health care consultant at Watson Wyatt, said.

Some employees at companies with onsite health clinics do not use the facilities because of concerns about privacy and quality of care, according to consumer advocates. In response, some companies have hired independent health care vendors to staff onsite health clinics (Tadesse, Gannett/Asbury Park Press, 8/27).

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