A wellness benefit can have a significant impact on where people decide to work these days. So it comes as no surprise that over 70% of all companies offer some sort of employee wellness benefit today.
Cost is a huge consideration when deciding whether to offer an employee wellness program, but there isn’t a one-size-fits-all plan or price tag. What you pay for an employee wellness program — depends on how you customize the plan you offer.
This article will help you understand which plan details you can tailor to your needs, and how they affect the overall cost of benefits.
Let’s start with the basics. A wellness benefit is the fixed dollar amount given to your employees on a monthly basis to be used towards wellness services.
A wellness benefit can be paid entirely by your business, but most commonly the cost is shared between employer and employee. How much an employee wellness benefit costs each month depends on a number of factors such as:
Let’s look a little closer at some of the factors that contribute to benefit prices.
Traditional wellness benefits are usually offered in a way where the company negotiates a rate at a local gym or studio, and the employee has the option to sign up and submits for reimbursement.
This has commonly led to underutilization and no real understanding of usage and outcomes.
The benefit options provided by Leon tend to lean more towards your traditional health insurance type plan.
Each plan offers the same essential wellness benefits. What’s different is the split between how much employees will pay for wellness activities vs. your company. Take a look at our options below:
Currently, we have two specific types of wellness benefits that your employer can choose from.
Perks within the LEON Marketplace, have become very popular over the past few years because they tend to be fully subsidized by the employer and add tremendous value to an existing benefit.
Mental health services, bike shares, gym memberships, and other perks provide a nice secondary option that can be added to any wellness benefit.
In one, easy to use company marketplace, you can fully subsidize and manage any Perk within the LEON ecosystem. We handle the entire payment, roll-out, and employee onboarding for any perk you start
Last year, the average annual utilization rate of enterprise employee wellness programs was about 15%, with SMB and mid-market companies seeing a much higher utilization rate of 37% 😉. That being said, much like traditional health benefits, you pay that monthly premium regardless if they use the benefit or not.
Now, there could be multiple factors in why these numbers are so low. From education to benefit launch and distribution, these blockers of success could make or break a wellness benefit for any size company.
With LEON, we provide a much better experience for all stakeholders. For one, we use data to help you understand which services both you and your employees should be utilizing. The LEON Performance Index helps provide a roadmap for everyone to understand the absolute best possible way to utilize a wellness benefit. Secondly, we recommend the right product, to the right team, right when they need it. No more “bulk” purchases, and no more explaining why engagement is down on that very expensive company perk.
You’ve got plenty of options when it comes to choosing a wellness benefit for your company. The even better news? LEON is here to walk you through all those choices. Learn more about providing a wellness benefit for your employees, or get in touch and we’ll help you pick the right plan for your company.
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