LYNCHBURG VA—The Mid-State Group has assembled Lynchburg’s first High Performance Network (HPN)—a streamlined healthcare “superhighway” providing local companies with fully insured, self-insured and workers’ compensation plans a fast-track exit ramp from conventional managed care networks.
“In Lynchburg and across the country, many of our employers painfully watch the costs of employee benefit plans going up year after year. Likewise, employees have to endure healthcare costs outflanking wages and inflation,” says John Austin S. Basten, president of The Mid-State Group.
One powerful cost containment solution is a High Performance Network (HPN), an exclusive “narrow” group of premier healthcare providers to serve a defined patient population. A HPN serves as an alternate tier within a company’s group health and workers’ compensation network.
A core goal is to encourage employees to use specific proven providers with outstanding medical outcomes for certain treatments or procedures, Basten adds. The Mid-State HPN also offers employees direct, affordable access to leading evidence-based providers.
“Employees work hard to provide for their families and they deserve the very best in healthcare when an injury or illness arises,” says Basten. “We built the HPN so Lynchburg employees can have quick, easy access to excellent local and national medical providers. The network is designed to ensure employees can recover quickly as possible to enjoy all that life has to offer. ”
A key cost containment target is reducing group health and workers’ compensation costs—which in actuality are two sides of the same coin, Basten explains. Whether an employee gets sick or hurt on or off work, a medical issue must be addressed regardless of whether the claim impacts the benefits or workers’ compensation plans.
“We know if an employee has a bad knee and injures it further at work, costs can easily spiral out of control with medical expenses, absenteeism, productivity and much more,” says Basten. “We need to identify and provide proven care for those that have risk or lifestyle factors contributing to potential injury or chronic disease.”
Preventative and remedial strategies ensure an employee is free from pain and injury and fully engaged at work. deflate healthcare costs while promoting a healthier workforce.
A University of Chicago survey found that 57 percent of small businesses would opt for a high performance network if it would lower costs by 5 percent or more. About 77 percent said they would choose a high performance network if it lowered costs by at least 10 percent.
Mid-State also utilizes Value-Based Insurance Design (V-BID) to increase health care quality and decrease costs by using financial incentives within plan design to promote cost-efficient healthcare services and consumer choices.
“We’re stripping away the economic barriers to accessing quality care, such as high co-pays, deductibles and maximum out-of-pocket expenses,” says Basten. “We are looking at people’s lives inside and outside of work who are experiencing pain, discomfort or illness…who would be more likely to get the care they need if we remove
disincentives to maintaining and improving health. Combined, these strategies provide a best-in-class cost containment strategy for employers while providing best-in-class benefits to employees.”
Headquartered in Lynchburg since 1964, The Mid-State Group navigates innovative growth strategies for businesses, organizations, families and individuals. The Mid-State Group is a family-owned, independent umbrella of service com-panies including Mid-State Insurance; Mid-State HR; Mid-State Safety, and Mid-State Wellness, along with the educational Mid-State Academy.