An article appearing on CNBC.com reports “a handful of large American employers are getting more deeply involved in managing their workers’ health instead of looking to insurers to do it.”
The example cited is network gear maker Cisco Systems who is reportedly going to unusual lengths to take control of the relentless increase in its U.S. health-care costs by offering its employees a plan it negotiated directly with nearby Stanford Health medical system.
Under the plan, physicians are supposed to keep costs down by closely tracking about a dozen health indicators to prevent expensive emergencies, and keep Cisco workers happy with their care. If they meet these goals, Stanford gets a bonus. If they fail, Stanford pays Cisco a penalty.