Improving employee health outcomes at a lower cost
The health and wellbeing of employees are vital to a company’s business performance. A healthier workforce helps a company’s most critical resources—its human capital—thrive. Veritas Technologies LLC, an international data management company headquartered in Santa Clara, CA, has made the health of their employees a core focus. Better healthcare seems as though it has higher costs—Veritas, however, focused on improving healthcare outcomes for its workers, which ultimately drove cost savings for the firm and better employee experiences.
Early on, Veritas consulted with Carlyle’s Global Investment Resources team to transition their healthcare approach from a traditional carrier arrangement to a care concierge model in order to drive better health outcomes more effectively and efficiently for their employees.
The Veritas care concierges are compassionate, knowledgeable healthcare advocates that guide employees and their families to high quality and cost-effective providers and facilities. This consumer-focused approach provides the flexibility to bring together best-in-class point solutions, networks, and claims administrators that are specifically tailored to the needs of more than the 1,900 Veritas US employees.
Rob Wheeler, who leads Carlyle’s Healthy Benefits Initiative on Carlyle’s Global Investment Resources team, notes, “When an employee or family member at a Carlyle portfolio company experiences a life-changing diagnosis, they face a complex, opaque, expensive system during an incredibly stressful time. Our focus is on working with our portfolio companies to make clinical resources and compassionate support available to their employees to help take care of them when they need support the most. Doing this has been a win-win, improving healthcare outcomes for employees, while reducing costs for companies and employees alike.”
“When an employee or family member at a Carlyle portfolio company experiences a life-changing diagnosis, they face a complex, opaque, expensive system during an incredibly stressful time. Our focus is on working with our portfolio companies to make clinical resources and compassionate support available to their employees to help take care of them when they need support the most. Doing this has been a win-win, improving healthcare outcomes for employees, while reducing costs for companies and employees alike,”
-Rob Wheeler, Healthy Benefits Initiatives Leader
Employee engagement is crucial to the success of the program—which has in turn led to significant results. Veritas has seen higher than average annual physicals—which are linked to early disease detection; lower than average specialty drug spend; greater than average usage of pricing transparency tools; and high ongoing engagement with the care concierge along a healthcare journey.
This differentiated approach to healthcare coverage has not only improved the ability of Veritas’ workforce to make educated and informed decisions about their healthcare needs, it also positively affected its bottom line—per employee healthcare costs went down 25 percent from 2016 to 2018 while health and well-being outcomes have improved.
Verita's Healthcare Cost Per Employee
“At Veritas, we care about the moments that mean the most to our employees. Aligning the right resources for our benefit program is crucial to our employee experience and culture of savvy consumerism. Having a supportive partner help our employees and their families navigate the complexity of the healthcare system at a time when they are most vulnerable is paramount to the success of our program.” says Veritas Senior Vice President and Chief Human Resources Officer Sophie Ames.
It’s easy to assume that better healthcare is just more expensive. By focusing on providing more effective, more comprehensive, and more accessible healthcare to their employees, Veritas focused on driving better health outcomes for their people, which in the end, was better for their employees, and better for business.
Carlyle believes these selected case studies should be considered as a reflection of Carlyle’s investment process, and references to these particular portfolio companies should not be considered a recommendation of any particular security, investment, or portfolio company. The information provided about these portfolio companies is intended to be illustrative, and is not intended to be used as an indication of the current or future performance of Carlyle’s portfolio companies. The investments described in the selected case studies were not made by any single fund or other product and do not represent all of the investments purchased or sold by any fund or other product. The information provided in these case studies is for informational purposes only and may not be relied on in any manner as advice or as an offer to sell or a solicitation of an offer to buy interests in any fund or other product sponsored or managed by Carlyle or its affiliates. Any such offer or solicitation shall only be made pursuant to a final confidential private placement memorandum, which will be furnished to qualified investors on a confidential basis at their request.