Musculoskeletal (MSK) conditions were found to be the most costly disease for multinationals and accounted for 12 per cent of private medical claims costs according to new a study Maxis Global Benefits Network.
The study found that musculoskeletal conditions are the most costly claims for multinational employers. MSK conditions were ahead of respiratory diseases by 11.5 per cent, digestive conditions by 10.3 per cent, neoplastic diseases by 9.1 per cent and genitourinary conditions by 7.1 per cent, according to Maxis GBN’s proprietary analysis of private medical claims.
The research is based on several years of comprehensive medical claims data from Maxis’ global network of local insurance companies in over 25 markets. It examines the top cost drivers in diagnostic and benefit categories across the Maxis claims portfolio, both on a regional and country-by-country basis. It also looks at how wellness trends are influencing local ecosystems, Covid trends, the top chronic disease drivers, and more.
Surgery and procedures for MSK conditions cost an average of £463 per member per year, compared to £453 for all other conditions. Chronic issues accounted for nearly half of the total amount paid under the MSK category, with back or disc disorders accounting for 43 per cent. Inpatient procedures such as surgery had the highest unit costs for MSK conditions.
But MAXIS GBN believes that better use of dedicated preventative measures and programmes could save multinationals money while also improving patient outcomes.
Maxis head of health and wellness Dr Leena Johns says: “MSK conditions remain a major challenge for businesses of all types, affecting employees’ health and productivity and adding significant cost to medical policies and programmes. With the shift to working from home and poor ergonomic working environments, we may find that MSKs continues to rise in 2022 and beyond. Conservative treatments for MSK conditions – such as physical therapy – could help to give better results for patients and lower costs, but access remains a problem. In 31 per cent of countries, there is less than one practising physical therapist per 10,000 people.”
“In the era of Covid-19, where respiratory illnesses have dominated headlines, the fact that MSKs are the biggest cost driver shows the need for an effective and dedicated approach to better care for employees with MSK conditions.”
The study found that respiratory conditions were the second-highest cost driver, accounting for 11.5 per cent of paid claims costs. Acute respiratory conditions (including Covid-19, colds and flu, coughs and sore throats) made up over 74 per cent of total paid claims in the entire respiratory claims category.
Maxis believes there are a number of solutions multinationals could consider to better care for their people and tackle their biggest cost drivers. For MSK conditions, options include virtual and telemedicine-based solutions so employees can access physical therapies at home – this could not only help prevent costly surgery but also reduce absenteeism and improve an employee’s productivity. Companies could also encourage second medical opinions – these are usually covered in medical plans and can help to ensure the employee is on the right treatment path.
As for reducing costs from respiratory conditions, multinationals should look to promote the use of primary care treatment as an initial response and ensure employees have the solutions they need to effectively manage these conditions.
Johns says: “Sharing in-depth analysis of private medical claims data means multinationals can gain insights into their biggest medical cost-drivers, understand the underlying trends that play a role in those drivers and plan their strategies accordingly. This could be done in a variety of ways from putting in place wellness and preventative programmes, adjustments to plan design and reimbursement processes, to network changes. and other new innovative healthcare cost-reducing methodologies.”