Overview

The importance of managing mental health benefits has never been greater. Historically, employers have focused their attention on general health care services, paying little or no attention to mental health care. Evidence has been mounting about the critical impact of mental health disorders on employees’ overall health and productivity and their associated costs.

Recent studies have found that up to 80 percent of the health care budget is consumed by five behavioral issues: smoking, drinking, eating, stress, and lack of exercise.

Current research also indicates that mental health issues are among the leading causes of disability. While these factors directly contribute to rising health care costs, particularly when left untreated, the indirect costs — excess turnover, lost productivity, short- and long-term disability, presenteeism, and absenteeism — are just as significant.