Viking Range Corporation Promotes Employee Wellness with Care Management Technology and Saves 16% on Health Costs
Located in Greenwood, Mississippi, Viking Range Corporation manufactures, markets and distributes high-end kitchen appliances and cabinetry. Beyond its core manufacturing business, however, Viking’s operations also include a variety of hospitality and lifestyle ventures, including: cooking schools, restaurants and a spa. As a self-insured employer, Viking provides healthcare coverage for approximately 800 employees and their dependents. There are over 1,400 covered members.
Viking implemented a Healthcare Performance Management strategy in January 2010. The strategy has generated a significant return on investment and noticeably reduced the company’s healthcare costs. From 2009 to 2010, the company has achieved:
$1.16 million savings on annual medical and pharmaceutical claims;
16 percent reduction in annual medical and pharmaceutical costs per employee;
13 percent drop in the probability of high cost medical and pharmaceutical claims; and
9 percent decrease in hospital admissions.
The company achieved these results by utilizing predictive modeling technology to continually target its members with the highest probability of high-cost claims across disease categories. It also offered incentives for engaging with Care Managers and fostered a corporate culture in which wellness is a shared organizational priority driven from its executive leadership on down.