Companies not using health centers to full potential.

More companies are opening onsite health centers to help reduce their health costs, but many have no idea whether the centers are worth the investment, according to a study by Watson Wyatt, a global human resources consulting firm, and the National Business Group on Health.

The study found that nearly one-third of companies (29 percent) have or plan to have an onsite health center by 2009, up from 27 percent in 2006. A separate Watson Wyatt study found that among businesses that had opened centers since 2000 (recent adopters), 70 percent had done so primarily to reduce medical costs. Only 49 percent of companies that opened health centers before 2000 (early adopters) did so mainly for cost reasons; the others typically did so to address occupational health.

Despite the impetus to reduce costs, most companies with onsite health centers do not link their data to medical claims and nearly one-fifth do not store their data electronically. Further, only 39 percent of companies integrate disease management programs with their onsite health centers and only 30 percent connect them with a nursing hotline.

Nearly half of companies cite inadequate measures of performance as the top challenge in operating the centers. Integration of the health center with a company's other health and productivity initiatives and data is also a challenge.

Other findings include the following:

* Preventive services such as immunizations and screenings are the most common offering among recent adopters of onsite health centers (81 percent).

* Mental health counseling is more than three times as common among early adopters (46 percent) as recent adopters (15 percent) and physical therapy is twice as prevalent among early adopters (44 percent versus 22 percent).

* Recent adopters are nearly twice as likely as early adopters to offer pharmacy benefits (44 percent versus 23 percent).

* Nearly three-quarters (71 percent) of companies provide health center services to part-time employees, even those not eligible to participate in the health plan.

* Only 25 percent of organizations offer health center services to covered dependents, and just one-fifth (20 percent) of retirees are offered access to the center.

More information about the Onsite Health Center Survey is available at www.watsonwyatt.com/onsitehealthcenters.

Top Challenges of Operating Health Centers

Challenge                             % of Employers Listing
                                      among Top Challenges

Inadequate measures of performance             45%
Less than ideal location                       23%
Lack of integration with health and
  productivity programs                        19%
Lack of integration with local
  medical providers                            17%
Lower than expected utilization                17%
Higher utilization for "self care"             10%
No challenges indicated                        26%

SOURCE: Watson Wyatt, 2008