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Case Study: GMK Companies
Getting Health Care Costs Under Control

AppleGMK Companies is a Southeastern Wisconsin corporation that possesses ownership interest in 4 local manufacturing companies. Burkwald & Associates has partnered with GMK companies for nearly 10 years in all aspects of their employee benefits. We have implemented a long-term plan that focuses on health care cost-containment through innovative plan designs and employee health and wellness.

Burkwald & Associates consistently works with the employees of GMK companies each year to help them better understand the reasons that health care costs continue to increase and engage the employees to take steps in impacting the things over which they have control.

In March of 2003, GMK was faced with a 64% renewal on their health insurance plan. Burkwald & Associates was able to reduce that increase to 27% through a unique form of consumer driven health care. Burkwald & Associates emphasized that the rate reduction would be a one-time event unless claims patterns changed and the health of the employees could be improved.

Putting Wellness to Work

The wellness program at GMK began in April of 2003 with a Health Risk Assessment offered to all employees and their spouses. The employees learned about their current health status through a questionnaire and several biometric measurements that included a blood pressure and cholesterol check in addition to a BMI evaluation of height and weight. The 2004 participation rate was 84% and valuable data was received through the HRA aggregate report.
GMK has developed a long-term health and wellness incentive program, entitled "Health Points". The ongoing 6-month program encourages employees to collect points for performing different wellness initiatives like exercising regularly, having an annual preventive exam, or losing weight. Employees can then redeem their points for rewards. If an employee is able to accumulate 500 points, they are rewarded with a $100 check from the company. There were 6 people at GMK who were able to make the lifestyle choices necessary to earn the $100 in the first program.

GMK organizes a variety of walking programs throughout the year that promote physical activity. The employees organize different stress-reducing activities throughout the year. They have supportive smoking cessation programs in place for those who are struggling to kick the habit. A wellness newsletter is also distributed to employees on a monthly basis.
Suzanne Dorszynski, HR Director, has taken a proactive position and is a key contributor to the wellness initiatives at the GMK companies. The wellness programs have helped motivate her to lose 25 pounds and maintain healthy cholesterol levels. "It helps having an HRA at work and a wellness program to support my efforts."

The Results

She is not alone. We have been able to determine, through GMK’s Health Points program, the overall weight loss among all four companies was over 120 lbs in the first six months. We received a more favorable renewal in 2004 of 11% and will continue to make strides at impacting their health care costs. GMK views their wellness efforts as an investment in their employees.

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