Nov. 25–Hotelier Harris Rosen is a champion of his own health and his employees’ health. By running his own employee medical clinic, the 74-year-old entrepreneur says he’s saved $240 million over the years in health-care costs. The owner of seven area hotels recently spoke with Sentinel reporter Marni Jameson about how companies can take better care of their most important asset — their employees’ health.
CFB: How did you go from hotels to health care?
When we started this 24 years ago, we had some extra office space we wanted to use. When I suggested a primary care clinic, you’d have thought I’d climbed to the top of the Empire State Building and shouted something profane. How dare you! What do we know about health care? Well, not knowing about something has never deterred me before. We hired a doctor, a nurse and an administrator.
The clinic now has four full-time doctors, three nurse practitioners, one physician assistant, a chiropractor, podiatrist, dietitian and physical therapist. The clinic also has a pharmacy, lab services and on-site X-ray, ultrasound and mammography. We have 3,700 employees and the lowest employee turnover rate in the industry, partly because of the medical clinic.
CFB: How much have you saved in health-care costs, and how much could the nation save if others did this?
According to a 2011 government estimate, the average “covered person life” costs $8,500 a year. Our cost is $4,200, or less than half. If we had spent the average instead of what we’ve actually spent, we would have spent an additional $240 million over the past 24 years.
If we can take what we’ve been doing and extrapolate that, extend it to other companies, the effect would be beyond belief. If there are 150 million workers in the country, and each company could realize that savings, the country would save more than $600 billion a year.
CFB: How does your clinic work?
A single employee pays $750 a year for the plan, and $2,200 for family coverage. There is no deductible and no co-pay for preventive care, and a $5 co-pay for sick visits. If an employee or a family member has to go to the hospital, he or she pays $500 per visit. After that person’s second visit in one year, the co-pay is zero.
Associates stay on the clock when they go to appointments, so they get paid while they sit here. We offer transportation if they don’t have a car.
We want them to access to clinic whenever they want so they stay healthy. If you are healthy, you use hospitals less. We also want them out of the hospital as soon as possible, so we have a home care division that helps associates once they’re home.
We also don’t let you smoke. We randomly test for nicotine, illegal drugs and alcohol abuse. It sounds a bit draconian. We understand that smoking is terribly addictive, so we work with employees to help them quit. We have zero tolerance for illegal drugs.
Obesity is a major issue, and we pay for Weight Watchers and have a free fitness center available to associates. And I don’t allow junk food at meetings, no chocolate cake, no Danish. No, not here.
CFB: What is your fitness routine?
I swim 1 1/2 miles five days a week. I stretch for one hour in the morning and at night. I have a diet of mostly fruits and vegetables, fish and some chicken. I try to set a good example.
CFB: What do you think about the Affordable Care Act?
The president and I are philosophically on the same page. We both believe in our hearts that everyone in the United States should have health care. But I disagree emphatically with how he is going about it. Employers must provide health care. The government can help subsidize the little companies.
CFB: You’re old enough to collect Social Security; do you?
I didn’t until someone asked me if I could spend the money better than the government. I said, “Of course, I can.” So I put all of it in the student fund at Rosen College of Hospitality Management.
mjameson@tribune.com or 407-420-5158
