Vision Benefits Study Helps Employers See Billions in Savings

by Cathy Miller on February 3, 2014

in Health and Wellness

bigstock-Pink-piggy-bank-on-dollars-46524970Who knew a simple eye exam could save billions?

$5.8 billion is the potential savings to employers’ healthcare costs, according to a study conducted by a human capital risk management firm, HCMS Group.

That buys a lot of eye drops.

About the Study

The study drew from 120,000 enrolled members from six large commercial clients of HCMS and VSP Vision Care, a national vendor that offers vision insurance.

So, what kind of calculator came up with potential employer savings of nearly $6 billion in healthcare?

We know eye exams detect conditions such as cataracts or glaucoma, but the report cites the early detection of chronic conditions as the real game-changer.

The infographic below shares the study’s findings regarding three medical conditions that are often first identified through the patients’ eye doctors.

HCMS Survey

Return on Investment

The study reported that for every dollar invested on a comprehensive eye exam, employers received a $1.45 return on investment through:

  • lower healthcare costs
  • improved employee productivity
  • lower turnover rates

The study measured the savings by multiplying per-employee savings over VSP Vision Care’s entire 60 million member enrollment, which VSP notes is representative of the U.S. population and spread across the country.

The Eyes Have It

Reportedly, there were additional benefits to the early detection through eye exams.

  • Less Medication –Those diagnosed required less medication to manage their condition
  • Fewer ER/Hospital Visits – Patients were almost 27 percent less likely to visit the emergency room or be admitted to the hospital when compared to patients with the same condition who were diagnosed by another healthcare provider

Vision benefits are a popular employee benefit that an increasing number of employers offer on a voluntary basis (the employee pays the entire cost of the premium).

If the study is accurate in its estimated savings, we all have a clear vision for the potential benefits of vision insurance.

Sorry. You know there would be a bad pun or two with that post title.

BigStock Photo Credit

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Notice of Disclaimer –Cathy Miller is not an attorney or health care provider and cannot provide legal or health care advice. The information provided is for your general background only, and is not intended to constitute legal or health care advice as to your specific circumstances. We recommend you review legislation with legal counsel and visit your physician for health care issues.

 

 

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