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Ducks In A Row: Pros And Cons Of Omada Health

by Miki Saxon

http://vator.tv/news/2014-04-09-omada-health-raises-23m-for-chronic-disease-prevention

Companies are becoming more and more involved in their employees personal lives, especially health-wise.

That’s understandable, considering how fast costs keep rising.

Startup Omada is a good example of what’s new.

The company’s business model is unique, as it doesn’t just charge employers per customer, but it actually depends on the success of each individual to make money. Omada’s revenue is outcome based.

This means that client companies pay only when there are positive results and that’s a good thing.

Accomplishing it, however, can feel invasive.

Its flagship program, Prevent, is modeled around the National Institutes of Health study called the Diabetes Prevention Program and is designed to help participants modify their behavior and reduce their risk of Type 2 diabetes.

The client company contracts with third-party organizations to identify those most at risk for at risk of diabetes or heart disease and enrolls them for intensive personal counseling.

The digital scale that each user gets, which is connected wirelessly to their Omada account, does daily weigh-ins to track their weight loss, as that is a good indicator of blood sugar and the risk of diabetes. Omada then gets paid based on the percentage weight loss that user has seen.

However, weight is not always an accurate indicator. Based on my lifetime weight I should be diabetic, have high blood pressure and likely a heart condition.

But I don’t.

In fact, I am amazingly healthy, always have been, and require no medication, whereas 85% of people my age are taking at least one prescription drug.

While Omada’s process would work for many people it feels invasive to me and if I were an employee I’d want to opt out of it.

So the real question here is not the value of the program offered, but whether the employer forces people to do it and penalizes them if they refuse.

Image credit: Vator TV

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