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The Impact of Integrating Health and Disability Data | Integrated Benefits Institute

Written by Integrated Benefits Institute | Aug 1, 2006 2:00:00 PM

Databases that integrate medical treatment with disability outcomes represent a powerful health and productivity management tool for employers and their benefits-supplier partners. This IBI study analyzes an integrated database furnished by IBI board member CIGNA, for 183 of its clients. The results demonstrate the power of the resulting database tool for focusing health and disability management: -Disability cases average 3.4 medical episodes (usually related to different medical conditions). These multiple conditions drive medical costs to represent 80 cents of every claims dollar overall for these disability cases. -Just 10% of the disability cases account for more than half the total medical and disability costs. Focusing prevention on claimants with the characteristics of those in the “Pareto group” represents a good business strategy. -Lost productivity associated with disability absence averages $22,800 per disability claim, compared with $13,600 in medical costs and $3,800 in disability payments. Ignoring lost productivity will cause employers to focus management on the wrong conditions.