Firelight for Employers

FireLight can help employers manage employee healthcare costs -- especially for companies that self-insure. For most U.S. employers, their workforce is their most valuable asset and the salaries paid are the employer's single greatest expense. And frequently, employee health benefits are the second or third greatest expense line item. So, how are employers thinking about this critical expense?

I want to attract and retain the best employees, and I'm willing to pay for quality healthcare coverage. That's great, and quality is worth paying for. But when employers discover that there's a huge variability in the prices they pay for the same procedure within the same city, and that these prices don't reflect differences in quality -- they know something is wrong.

Our plans now have sizeable deductibles, co-pays and co-insurance, so our employees have 'skin in the game' and are incentivized to watch costs. Studies have shown that cost sharing does not have a very large effect on an employee's willingness to price-shop for healthcare services. When faced with cost concerns, consumers and employees often simply forego needed services -- which can negatively impact workforce and business efficiency.

What is FireLight's approach? Carrots, not sticks. Sharing savings, not costs. Instead of structuring plans that have employees share in healthcare costs, FireLight can help employers to enable their employees to share in the savings -- the savings that results from employees having a meaningful incentive to make high value healthcare choices.

How does it work? Without changing any aspect of networks, coverage or TPA management of an employer's plans, FireLight structures and operates an incentive system with the employer that rewards employees who choose high value healthcare providers. In each city, a 'reasonable price' is identified for 100 of the most common non-emergency procedures. Typically, it's a price below that of the few expensive outliers and yet above the average price for each procedure. If the employee's avoids the few providers in their city with inflated prices by selecting one at or below the 'reasonable price', then the employee earns a reward based on a schedule set with the employer. Regardless of which provider employees may choose, there is no impact on the coverage available under the employee's plan. Under the employer's FireLight program, employee incentives for high value healthcare choices can range from $50 - $500 and/or involve avoidance of co-pays or co-insurance. Savings to employers can be considerably higher, depending on the procedure and provider.

How do I learn more? Contact Us anytime. We look forward to meeting you.