Page 43 - Delaware Medical Journal - March/April 2021
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MSDIS CORNER
UTILIZING DIGITAL TOOLS IN A WORKPLACE HEALTH STRATEGY
The integration of digital tools in the corporate environment is moving at
a rapid pace and changing the way companies implement their wellness strategies. Employers and many of the insurance carriers they work with have offerings as a way for individuals not just but also to address concrete wellness needs and improve health outcomes.
Through the use of these digital tools, employees are empowered to take greater control over their well-being through
the tracking, managing, and analysis of critical health data. Digital health tools care by improving access, reducing costs, increasing quality of care, and making medicine more personalized and precise.
A wellness strategy that incorporates digital health will usually include a variety of tools, such as:
• Health Information Technology: utilizing a platform or application
to manage the exchange of health information between patients and medical personnel in a secure, computerized environment.
• Mobile Health: allowing medicine and care delivery through mobile phones, tablets, and other wireless technology.
• Telehealth: providing the remote exchange of data and care between a patient and their medical advisor.
• Wearables: clothing and accessories that integrate advanced electronic technologies to assist in providing more personalized health data.
TRENDS THAT MAY IMPACT FUTURE INSURANCE PREMIUMS
Although the severity and extent of the COVID-19 pandemic is unprecedented in modern times, there are safeguards built into the structure of the insurance industry that are designed to maintain stability elements provide protection against large provide some stability in premiums:
• Claim Reserves: Insurance regulations require carriers to maintain a (based on the company’s size and risk expenses are larger than anticipated. These reserves are funded through a part of the premiums charged to policy holders.
• Reinsurance: Reinsurance is coverage purchased by an insurance company from a third-party insurer
that is designed to insulate them from major claims events. If claims, either individually or collectively, surpass designated levels, the reinsurance carrier would reimburse the insurance company for a part of the claim cost.
Additionally, the severity of the virus has varied in different regions of the country. As a result, insurance carriers will be demographics of their insured populations. Carriers with large numbers of insureds
in some of the country’s hotspots will experience greater claim expenses than carriers insuring greater numbers of insureds in minimally impacted regions.
Impacts from
Employer-Related Expenses: Insurance carriers are also employers, and as such, have experienced some of the same pandemic-related business costs as other businesses. Added cybersecurity costs, outlays for equipment and software to facilitate their employees’ alternative
work arrangements, etc. will impact their bottom line during this event. Even the downturn in equity markets will affect the expected level of return on their investment portfolio.
Positive Impacts:
There is also the potential that some recent virus-related developments will positively impact insurance costs, such as the more widespread use of telehealth services. In addition to providing access to care with lower costs, on a long-term basis this development could allow health care providers to extend their reach to people to expand access to care and improve overall population well-being.
Considering all of these pandemic
insurance premiums will be affected, although the expected range of impact probably won’t be clear until later this year. Working with your broker to be aware of the trends as well as being forward-thinking towards new and innovative strategies will provide you with the tools to mitigate costs and
CONTRIBUTING AUTHOR
■ SHARON RUTH is a Senior Client Advocate who wastes no time when it comes to advocating for her clients and prospects. She coordinates all lines of Property and Casualty coverage for the Medical Society of Delaware Insurance Services, Inc. (MSDIS), specializing in Medical Malpractice. She will be happy to assist you with your insurance questions or concerns.
Del Med J | March/April 2021 | Vol. 93 | No. 2
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THE MEDICAL SOCIETY OF DELAWARE OFFERS ITS MEMBERS ACCESS TO MY BENEFIT ADVISOR
as a solution for employee benefits, including voluntary offerings. For more information about My Benefit Advisor, contact Sharon Ruth at (302) 397-0173 or sharon.ruth@usi.com.
