Measuring the Impact of a Well-Being Program: U-Haul’s Story

U-Haul shared how it uses data and employee feedback to continually improve its health and well-being program and move up the Healthiest 100 Workplaces in America list.

Moving equipment and storage company U-Haul has used information from its employees—including data on how they’re using their benefits and feedback on what they say they need—to work to improve its health and well-being program.

At one of the sessions held during the Business Group on Health’s 2021 Annual Conference, “From Crisis to Opportunity,” Penny Moore, chief commercial officer of Springbuk, a health data analytics solutions provider, said U-Haul was named No. 15 on its 2020 Healthiest 100 Workplaces in America list as a result of its effort.

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Jessica Lopez, chief of staff at U-Haul, said the company offers its Healthier You program to its 32,000 team members across America. The program offers health, mindset, nutrition, fitness and financial education. Components of the program include:

  • Education on healthier lifestyles and time management;
  • The “You Matter” employee assistance program (EAP);
  • A nurse on call 24/7; and
  • The “U-Haul Kids” program, which provides 24/7 virtual consultation and free medications for children 12 and younger.

Regional health and benefits fairs also provide free wellness checks to employees. Lopez said U-Haul even refreshed the café at its headquarters in Phoenix to provide meals under 500 calories that cost less than $5 and refreshed vending machine selections across all locations to provide healthy options.

U-Haul uses Springbuk’s health intelligence platform, which provides actionable insights for employers, identifies and predicts when health care interventions are needed, and measures the impact of those interventions.

Lopez said her first order of business when U-Haul decided to offer the program was to hire a wellness program manager, and, within three weeks of hiring Monique Wantland, a healthier living presentation was given to upper management.

“I’m a firm believer that wellness programs need leadership buy-in,” Lopez said. “We started our wellness program a little over five years ago, and I’m confident we were able to make a difference so quicky because of the CEO’s buy-in.”

Wantland said the company started by looking at the benefits it already offered and what features of those benefits it was not using. “For example, when we found out that access to a wellness coordinator is part of our medical plan, we starting using them to create webinars and events,” she said.

Wantland said U-Haul is building an on-site medical clinic and gym at its headquarters. Claims data showed that many employees were seeking occupational/physical therapy, so the company will be providing a physical therapist at the on-site medical clinic. “It’s important to offer what people need, not what we think they need,” she said.

Lopez said U-Haul constantly reviews data and uses employee feedback to enhance its program. “Perception is reality. We want out team members to know our wellness program is not a policy but we offer it because we truly care,” she said. “It’s important to match the data with the feedback from employees.”

As an example of using data to make a difference, Lopez said she was shocked to learn how many employees and family members were just going to the emergency room for routine care. “We realized we needed to communicate to team members how to be a smart consumer. In 2019, we did a campaign where we outlined the costs of telemedicine, urgent care, primary care physicians and emergency rooms, as well as the reasons to go to each provider type,” she said. “Some team members didn’t realize telemedicine visits were available. Some didn’t realize the added costs to them and the company of going to the ER. We heard from many team members how grateful they are for that campaign and the know-how we provided.”

Lopez added that the campaign started with a video of the CEO asking employees for help in controlling health care costs by being smart consumers so they could keep the good benefits they have. “He pointed out that they could not only save money, but time, by not wasting five hours of their day at the ER,” she said.

U-Haul followed up with continuous reminders about being a smart consumer and rewarded employees with incentives.

The video of the CEO and additional education about being a smart health care consumer are now part of the U-Haul University training for employees. The company provides a contribution to the employee’s health savings account (HSA) as an incentive for taking the course, Wantland said. “It wasn’t that team members didn’t want to choose other options, it was that they didn’t know about their choices,” she said.

Claims data also informs what is included in U-Haul’s Healthier You newsletters. “We use the data to see what employees need and it helps drive newsletter topics,” Wantland said. “There are no more general topics in our educational materials. We address gaps in care, the programs available at U-Haul to help employees with those issues and what community programs are available to help.”

Wantland said it is important to set goals. “One of our goals was medication management,” she said. “The data provided by Springbuk showed gaps in care for medication management, so we offer a resource to help employees find out where they can get maintenance medication cheaper, and it can be set up to send reminders to take their medication.”

The data also helps U-Haul target its wellness efforts to certain groups of employees. Data showed the company that there were a high number of claims related to diabetes. “That allows us to target the people affected, not everyone,” Wantland said. “We did a webinar on diabetes maintenance medication and how, if an employee is pre-diabetic, they can avoid becoming diabetic.” She said that following the webinar, data showed more employees using the pharmacy benefit management resource.

Benefits providers can be a helpful resource in establishing and maintaining a successful wellness program. “We went to our vendors and asked how to specifically target certain issues and team members. We sent them our goals and asked what they can do to help us reach these goals,” Wantland said.

Wantland said data from Springbuk measured opportunities by each employee location to determine how employees could save money on prescription drugs by using generics. “For the specific locations that had a lower use of generics, we collaborated with our pharmacy benefit manager to launch an education program, which resulted in prescription drug savings due to the increased use of generics,” she said. “This shows how you can use data to target even a small number of employees that have a savings opportunity.”

U-Haul measures the impact of its wellness offering by checking to see if there was a decrease in certain types of medical claims, examining how many employees engage with tools and programs, and gathering feedback from employees, Wantland said.

Using the data and feedback, U-Haul has added more virtual options and mobile applications to its wellness program offering, Lopez said.

“In recruiting new employees, we found out employees are expecting a culture of health,” she said. “We are constantly listening to employees and trying to improve their wellness options. It’s a key reason people want to work for and stay at U-Haul.”

SECURE Act 2.0 Passed Unanimously by Ways and Means Committee

A rare unanimous affirmative voice vote by the Ways and Means Committee allows the SECURE Act 2.0 to be considered by the full House of Representatives.

The Ways and Means Committee of the U.S. House of Representatives voted unanimously Wednesday afternoon to advance the Securing a Strong Retirement Act for future consideration by the full chamber.

Led by Ways and Means Committee Chairman Richard Neal, D-Massachusetts, and Ranking Member Kevin Brady, R-Texas, the committee members spoke one after another in praise of the legislation, which they refer to as the “SECURE Act 2.0,” a reference to 2019’s Setting Every Community Up for Retirement Enhancement (SECURE) Act. They used words such as “joy” and “delight” to describe their feelings about the advancement of the bill, which has been the recipient of significant support from all facets of the retirement planning industry.

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As summarized by the lawmakers, the legislation will enable millions more workers to build savings through employer-provided retirement plans. A key feature is an automatic enrollment provision for new retirement plans. Auto-enrollment is a proven method for increasing worker participation. Employees who are automatically enrolled can opt out at any time. The bill also increases a tax credit for small business owners to encourage them to offer their employees a retirement plan.

Stakeholders in the financial services industry immediately praised the bill’s committee passage, and they called on the full House of Representatives to vote on the measure and send it to the Senate, where it also enjoys significant bipartisan support. Like the industry groups, many of the committee members took time to personally thank Neal and Brady for their lasting leadership on these topics, crediting the pair for first getting the SECURE Act passed and for now making significant progress on the follow-up bill.

“We are encouraged to see that ensuring all Americans have the resources they need for a successful retirement is a priority among lawmakers, and we strongly urge Congress to advance the SECURE 2.0 legislation forward,” said Heather Lavallee, CEO of wealth solutions for Voya Financial.

Lavallee noted how the impact of COVID-19 created even greater challenges for retirement savings efforts, for both individuals and companies alike.

“As we saw with the overwhelming bipartisan support of SECURE in 2019, this new legislation is something that almost all of us can agree on, and that is the importance of financial security,” added Charlie Nelson, vice chairman and chief growth officer, Voya Financial.

Aliya Robinson, senior vice president of retirement and compensation policy at the The ERISA Industry Committee (ERIC), said her organization and its members believe the bill is an essential step to increasing the future retirement security of workers and retirees.

“Millions of Americans have had their finances negatively impacted during the pandemic,” she said. “ERIC appreciates that the bill recognizes the looming student loan debt crisis impacting retirement savings as well as the cost and compliance burdens imposed on pension and retirement plans operated by employers. We are encouraged that the bill also allows for more savings opportunities for plan participants, including expanding the required minimum distribution age and providing additional savings opportunities for those nearing retirement age.”

Robinson said ERIC will work with lawmakers to ensure plan participants are provided the most options for savings and burdensome reporting requirements do not impact plan sponsors.

Key provisions of the SECURE Act 2.0 include the following:

Section 101 – Requires 401(k) and 403(b) plans to automatically enroll participants in the plans upon becoming eligible and allows employees to opt out of coverage. The bill requires the initial auto-enrollment amount to be at least 3% but no more than 10%, and then each year that amount is increased by 1% until it reaches 10%. All current 401(k) and 403(b) plans are grandfathered into the new rule. There is an exception for small businesses with 10 or fewer employees, new businesses, church plans and governmental plans.

Section 102 – Modifies the credit for small employer pension plan startup costs. Among other changes, this section increases the startup credit from 50% to 100% for employers with up to 50 employees.

Section 103 – Promotion of the Saver’s Credit. This section directs the IRS to promote the Saver’s Credit to increase its use.

Section 104 – Enhances 403(b) plans in a variety of ways. This section permits 403(b) custodial accounts to invest in collective investment trusts (CITs). It also amends the securities laws to treat 403(b) plans like 401(a) plans with respect to their ability to invest in CITs, with certain requirements and exceptions.

Section 107 – Establishes higher catch-up limit to apply at age 62, 63 and 64. Under current law, employees who have attained age 50 are permitted to make catch-up contributions under a retirement plan in excess of the otherwise applicable limits. The limit on catch-up contributions for 2021 is $6,500, except in the case of SIMPLE [savings incentive match plan for employees] plans, for which the limit is $3,000. Section 107 increases these limits to $10,000 and $5,000 (both indexed), respectively, for individuals who have attained ages 62, 63 and 64, but not age 65.

Section 108 – Creates an opportunity to establish multiple employer 403(b) plans. This provision generally mirrors the approach to pooled plans established by the original SECURE Act, including relief from the “one bad apple rule” so that the violations of one employer do not affect the tax treatment of employees of compliant employers.

Section 109 – Treats student loan payments as elective deferrals for purposes of matching contributions. The section permits an employer to make matching contributions under a 401(k) plan, 403(b) plan or SIMPLE individual retirement account (IRA) with respect to “qualified student loan payments.” Qualified student loan payment is broadly defined under the bill as any indebtedness incurred by the employee solely to pay qualified higher education expenses of the employee.

Section 201 – Removes required minimum distribution (RMD) barriers for life annuities. The section eliminates certain barriers to the availability of life annuities in qualified plans and IRAs that arise under current law due to an actuarial test in the RMD regulations. The test is intended to limit tax deferral by precluding commercial annuities from providing payments that start out small and increase excessively over time. In operation, however, the test commonly prohibits many important guarantees that provide only modest benefit increases under life annuities.

Section 202 – Addresses issues relating to the minimum distribution rules which have impeded the use of qualified longevity annuity contracts (QLACs) in retirement plans and IRAs. Due to a lack of statutory authority to provide a full exemption, regulators have imposed certain limits that have prevented QLACs from achieving their intended purpose in providing longevity protection.

Section 307 – Expands the Employee Plans Compliance Resolution System (EPCRS). Because of the ever-growing complexity of retirement plan administration, the legislation would expand the EPCRS to (1) allow more types of errors to be corrected internally through self-correction, (2) apply to inadvertent IRA errors, and (3) exempt certain failures to make RMDs from the otherwise applicable excise tax. For example, the bill would allow for correction of many plan loan errors through self-correction. These are a frequent area of error and it can be burdensome to go to the IRS to correct a single loan error.

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