CHICAGO— Sept. 24, 2024 – Independent actuaries at Arbital Health reviewed the Vitality Impact Study and found that the methodologies used for estimating healthcare cost savings and ROI were consistent with industry best practices. The paper showed a 4% reduction in claims costs for the total registered population over the analysis period and a resulting ROI of 1.8 times from direct claims savings, after all Vitality program costs and excluding pharmacy costs. [They/Arbital] found the claims cost and ROI calculations reasonable.
Furthermore, the report potentially underestimates savings because comparisons are between highly-engaged and less-engaged populations rather than unengaged populations.
Earlier this year, Vitality released the results of their Impact Study, which analyzed the health and claims data of over 40,000 members from five clients to study the effects of Vitality engagement on health risks, healthcare claims, and utilization. The study found that engaged Vitality members maintain or improve their health risks over time, which drives significant direct and indirect healthcare cost savings. In their report, Arbital Health actuaries note that even maintaining stable risk over a 4-year period could result in claims cost reductions of approximately $44 per member per month.
The study assessed the total cost savings attributable to Vitality. Using propensity score matching, highly engaged members were matched with low engaged members multiple times based on similarities in age, gender, relationship code, geographic area, and chronic condition count, and claims costs were compared across these controlled matches. This methodology, now independently evaluated and verified by actuaries at Arbital Health, found that highly engaged members realized an average of $462 in claims savings per member per year from 2018 – 2022. This represents a 4% reduction in claims costs for the total Vitality-registered population over the analysis period due to Vitality engagement. This results in an ROI for the Vitality program of 1.8 times from direct claims savings, taking into consideration all program and incentive costs.
“The Impact Study and now this independent validation of its results demonstrate that Vitality is indeed fulfilling its mission to make people healthier,” said Maia Surmava, CEO of Vitality U.S. “Vitality engages individuals across the risk spectrum by offering personalized health pathways that empower them throughout their unique healthcare journey, driving positive behavior change at every step.”
About Vitality
Guided by a core purpose of making people healthier, Vitality is the leader in improving health to unlock outcomes that matter. By blending industry-leading smart tech, data, AI, incentives, and behavioral science, we inspire healthy changes in individuals and organizations. As one of the largest health and wellbeing companies in the world, Vitality brings a dynamic and diverse perspective through successful partnerships with the most forward-thinking insurers and employers. More than 49 million people in over 40 markets globally engage in the Vitality program. For more information, visit vitalitygroup.com and follow us on X and LinkedIn.
