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3 Reasons to Use Healthy Incentives for Medicaid Enrollees

Posted, by Deborah Merkin
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Do you use your health plan as a trusted advisor to guide your healthy lifestyle initiatives? If you do, you’re not alone. Health plan enrollees, especially those enrolled in public health plans like Medicaid, look for guidance and incentive reinforcement on how to live a healthy lifestyle. This interaction is crucial as it not only encourages healthy behavior but also helps reduce overall plan costs.

Here are three reasons to use healthy incentives for Medicaid enrollees:

1. Specific Rewards Reinforce Healthy Behavior Better Than General Rewards

A study by the Medicaid and CHIP Payment and Access Commission (MacPac) showed mixed results regarding the effectiveness of general rewards, such as cash incentives, for Medicaid enrollees. However, the study did not focus on specific health-related rewards. Targeted incentives, such as those promoting fitness, healthy nutrition, or achieving biometric goals (like lowering blood sugar, blood pressure, or cholesterol), are more effective in promoting healthy behaviors.

Our conclusion is that specific rewards tailored to health-related behaviors yield more conclusive results. These targeted incentives directly encourage the desired healthy actions, leading to better health outcomes for enrollees. The more specific the reward, the more direct the impact on the enrollee's health.

2. Health Plan Enrollees Want Incentives and Discounts for Healthy Behaviors

According to a HealthEdge study, 46% of health plan enrollees said "more incentives for healthy behaviors" would help improve levels of satisfaction with their health plan. Additionally, the study found that enrollees prefer gift cards over other types of rewards. Gift cards can be used to support various aspects of an enrollee’s healthier lifestyle, making them a uniquely specific and desirable incentive.

By offering gift cards as part of a health incentive program, health plans can provide tangible support for enrollees' healthy lifestyle choices, thereby reinforcing the desired behaviors and enhancing the overall effectiveness of the program.

3. Consumers Look to Their Health Insurer for Guidance on Healthy Behaviors

The studies mentioned above highlight a critical insight: consumers want reinforcement for healthy behavior and seek guidance from their health insurers on how to achieve it. This applies to both private and public health plan enrollees.

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How the Engage2Reward™ Gift Card Ordering Platform Can Help

To streamline the process of providing specific, meaningful rewards, health plans can utilize the Engage2Reward Platform. This versatile platform offers a wide range of gift card options that can be tailored to support the healthy lifestyle goals of Medicaid enrollees. Health plans can easily order and distribute gift cards that encourage healthy behaviors, from fitness gear to healthy food options. This not only simplifies the reward process but also ensures that the incentives provided are aligned with the health and wellness objectives of the enrollees.

Health plans must take an active role in advising and supporting their enrollees' healthy lifestyle choices. Especially during periods when maintaining healthy habits can be challenging, such as the holidays, it's important for health insurers to prioritize initiatives that keep enrollees on track. Offering specific, meaningful incentives not only meets enrollees' expectations but also helps maintain their biometric levels and overall health.


Topics: General Health & Wellness, Health Incentives, Medicaid and Medicare, Healthcare, Patient Health, Medicaid & Medicare Incentives, Digital Health

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