City of Manchester, Anthem Blue Cross and Blue Shield in New Hampshire Launch Program Aimed at Helping to Lower Health Care Costs and Creating Smarter Shoppers

MANCHESTER, N.H., Feb. 11 /PRNewswire/ -- Employees of the state's largest city can now earn rewards for choosing more cost-effective health care providers, thanks to an innovative pilot program announced today by the City of Manchester and Anthem Blue Cross and Blue Shield in New Hampshire.

"We strongly feel that this program represents a key potential step in helping to control the city's health care costs," said Manchester Mayor Ted Gatsas.  "I am proud to say that we have already seen employees step up and take advantage of this service.  It is a great way for our employees to get engaged and help protect the excellent health benefits they have."

According to Mayor Gatsas, the program offers financial incentives to employees who choose to receive their care in lower-cost facilities for a host of high-volume, elective health care services including outpatient surgery, routine health screenings, and diagnostic imaging.

"Our state and city are fortunate to have a broad range of highly skilled physicians and doctors who provide high-quality health care services and are able to offer those services in a number of different physical locations," noted Douglas J. Wenners, president and general manager, Anthem Blue Cross and Blue Shield in New Hampshire.  "However, there can be a broad variation in cost for the same services based on where they are performed - as much as 250% - for some procedures.  If employees choose to receive care in a lower-cost location, the city benefits through lower claims costs."

Here's how the program works:  a member is referred by their physician for a medical service or diagnostic exam.  The member then contacts Compass Health Care Advisors, a local company, which provides cost and incentive information for area health care providers.  If a member chooses to receive care from a more cost-effective provider for his or her health care service, they qualify for financial incentives ranging from $50 - $100.  The City of Manchester avoids higher claims costs and provides a financial reward through the incentive payment for the employee making an informed health care decision.

"It's important to note that while all city employees and their dependants are automatically enrolled in the program, participation is completely voluntary and completely confidential.  The incentive program is location-based, not doctor-based, which means the City is not asking employees to change doctors.  Rather, the exact same surgeon likely can provide the exact same service in a number of facilities in and around the Manchester area.  Likewise, for certain radiology services, such as an MRI or CT Scan, most facilities are using similar equipment calibrated to similar settings," added Mr. Wenners.

The program targets high volume elective procedures and tests including: Carpal Tunnel Surgery, Colonoscopy, CT (Computerized Tomography) Scan, Ear/Nose/Throat Surgery, Hernia Repair, Knee Arthroscopy, Mammogram, MRI, Shoulder Arthroscopy, Sinus Surgery, and Upper GI diagnostic exams; additional services will be added over time.

"Not only can this pilot represent a real cost avoidance to the city, it can also support healthier and more productive employees as the program covers a range of preventative services and recommended screenings," said Mayor Gatsas.  "It is an important first step in providing an avenue for employees to protect the great health benefits they have against the rising cost of medical inflation.  At the same time, the program benefits taxpayers by avoiding unnecessary costs within the current healthcare system."

The Mayor noted that as Manchester's insurance plan is self-funded, the city realizes immediate savings when employees utilize lower cost providers.

"The response from employees has been extremely positive," said Jane Gile, Director of Human Resources for the City of Manchester.  "Employees who attended the education sessions were really engaged and asked great questions.  Once they understood that the program was voluntary, completely confidential, and only required a quick phone call, they really got behind it."  Ms. Gile added that employees began calling Compass the very first day of the program, and haven't stopped since.  "We're encouraging those who haven't taken advantage of this free service and want to learn more, to contact Compass," she said.

"If each of us does our part, we can all help control the costs for our great City, for the taxpayers and for the employees.  It truly represents a win-win," stated Mayor Gatsas

About Anthem Blue Cross and Blue Shield in New Hampshire

Anthem Blue Cross and Blue Shield is the trade name of Anthem Health Plans of New Hampshire, Inc., an independent licensee of the Blue Cross and Blue Shield Association.  ®ANTHEM is a registered trade mark of Anthem Insurance Companies, Inc.  The Blue Cross and Blue Shield names and symbols are registered marks of the Blue Cross Blue Shield Association.  Additional information about Anthem Blue Cross and Blue Shield in New Hampshire is available at www.anthem.com.

SOURCE Anthem Blue Cross and Blue Shield in New Hampshire