Cost Efficiency Measurement
Make Better Decisions About Healthcare Investments
The constant pressure of managing healthcare costs without jeopardizing employee satisfaction has led employers and payers to ask tough questions about their health program investments.
Many organizations rely on solution partners to provide critical insights into program impact and peer comparisons. However, the dependence on self-reported statistics and diverse methodologies among vendors often leads to incomplete or biased results.
To guide future healthcare spending, employers need comprehensive insights and detailed benchmarks to consistently measure and articulate the value of their vendor ecosystem, and overall health and wellbeing programs.
How Cost Efficiency Measurement Can Help
Aon’s proprietary Cost Efficiency Measurement leverages machine learning technology to quickly and efficiently evaluate health program performance by objectively comparing an organization’s program participants to a “digital twin” control group.
Unlike traditional benchmarking models, this custom-built control group is rooted in real member data and has been rigorously matched on factors such as geography, demographics and more than 25 comorbidities across tens of millions of market members.
The result is an unbiased, 360-degree analysis of an employer’s healthcare ecosystem that validates solution effectiveness, measures cost and utilization efficiency, and provides actionable insights to enhance program performance.
50M+
Universe of 50M+ employee lives, and client's own data, is used to calibrate member matching, reduce bias and generate relevant performance metrics.
Source: Aon’s 2024 U.S. Health Survey
Benefits for Employers
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Precise benchmarking
Precisely match your members against their digital twins with similar demographics, geographies and risks.
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Engagement, cost, quality and utilization drivers
Identify the factors impacting your health program’s efficiency and pinpoint areas for improvement.
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Performance tracking
Assess short and long-term performance for each participant group of interest.
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Ecosystem management
Analyze vendor solution effectiveness to optimize your health and wellbeing ecosystem.
Benefits for Vendors
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Articulate value
Evaluate your solution’s effectiveness and demonstrate its value to potential buyers.
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Build trust with clients and prospects
Ensure transparency and impartiality with Aon as your independent evaluator.
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Differentiate from competitors
Understand how your solution compares to competitors and communicate what sets you apart.
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Validate performance
Utilize a consistent methodology to effectively substantiate your solutions’ results.
Why Work with Aon
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Open Enrollment and New Hire Platform
Aon’s market-leading and proprietary benefit enrollment platform provides a superior user experience featuring decision support, efficient data sharing, and easy transactions allowing you to communicate, enroll and manage benefits effectively.
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Year-Round Consumer Marketplace
Aon’s consumer marketplace provides year-round access to lifestyle-focused benefits designed to positively impact employee's health, financial wellbeing and personal protection. We have already done the heavy lifting of evaluating the market and negotiating rates. Our platform is easy and convenient to implement with full payroll and premium administration support, resulting in less administrative burden on HR and payroll.
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Voluntary Benefit Premium Administration
Aon’s premium administration technology automates the complex process of exchanging benefit enrollment data and premium files across various carriers. Our comprehensive services include ongoing management of voluntary benefits, enabling electronic collection, reconciliation, and remittance of employee premiums.
Case Studies
Explore how clients leverage Cost Efficiency Measurement to validate solution effectiveness, assess cost and utilization efficiency, and enhance program performance.
- Claims Cost Impact of Digital Heart Health Program (Hello Heart)
- Analysis from Aon shows Lyra Health’s mental health solutions helped companies reduce health care claims costs up to $2,300 per participant per year
- The Impact of a Workforce Mental Health Program on Employer Medical Plan Spend: An application of Cost Efficiency Measurement for mental health care
