Amica Mutual Insurance Company Wins Benefits Award for Improving Health of Employees with Diabetes

PROVIDENCE, R.I.--(BUSINESS WIRE)--The New England Employee Benefits Council (NEEBC) named Amica Mutual Insurance as a recipient of the 2009 "Best Benefits Practice" award, presented annually to the companies best exhibiting innovation and creativity in the planning and delivery of their employee benefit programs.

“We have clear data which shows that adding incentives, such as eliminating the co-pay for targeted prescription medications, motivates employees to follow health regimens and saves the company money right away.”

The awards will be presented at NEEBC's December 9 "Best Benefits Practices" Conference, during which the winners will share details of the prize-winning programs with conference attendees.

Amica’s health behavior change program decreased medical costs and hospitalizations in its first year when incentives such as free medications were used to encourage proper chronic condition management. Amica saved an average of almost $4,000 per year on medical claims for each diabetic health plan member who completed the incentive-based health management program. Members with diabetes demonstrated a 50 percent participation rate as a result of the incentive program.

Amica works with Abacus Employer Health Solutions (Abacus), the consulting company which designs the programs, communicates with employees, tracks program compliance and handles incentive administration.

“Chronic conditions drive the majority of health plan costs for most employers and Amica is no different. Amica’s costs for their members with diabetes were running four times higher on average than their costs for their non-diabetic plan members and were increasing at over 23 percent per year prior to the program launch,” said Ed Aberger, Ph.D., executive vice president of Abacus. “We have clear data which shows that adding incentives, such as eliminating the co-pay for targeted prescription medications, motivates employees to follow health regimens and saves the company money right away.”

This program not only reduces health plan costs to the employer, but it also reduces out-of-pocket costs to the employee who is proactive in self-care. Only members who maintain compliance with program criteria earn the incentives. Other benefits of the program include a dramatic reduction in hospital admissions and length of stays for participating employees and a striking increase in the utilization of the available health coaches.

About Amica Mutual Insurance Company

Amica Mutual Insurance Company, the nation's oldest mutual insurer of automobiles, was founded in 1907. The company, with corporate headquarters in Lincoln, Rhode Island, is a national writer of automobile, homeowners, marine, and personal excess liability insurance policies. Life coverage is available through Amica Life Insurance Company, a wholly-owned subsidiary. Amica employs more than 3,500 people in 42 offices nationwide.

About Abacus Employer Health Solutions

Abacus Employer Health Solutions (Abacus) and its principals are nationally recognized behavioral scientists and health experts who have been providing cost-containment solutions for over two decades. Abacus has developed numerous evidence-based e-health tools financed in part with grant funding from the National Institutes of Health and the Agency for Healthcare Research and Quality. Today, Abacus provides employers and benefits brokers with an array of unique programs and services to address wellness and chronic condition management, specializing in integrating behavioral science principles into evidence-based benefit plans and providing incentive program design and administration. Visit http://www.abacushealth.com for more information.

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