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Part 2 of 3: The Hidden Costs of Biometric Screenings

Benjamin Prinzing
Jun 28, 2017 4:28:54 PM

Thanks for returning for Part 2 of 3 of this series on "What Biometric Screening Vendors Don't Tell You," if you missed Part 1, check it out here.

I see a common occurrence of hidden and non-transparent fees in the biometric screening marketplace. Prices range anywhere from $35 - $120 per participant, but what you’re getting for that investment isn’t always known or transparent up front. You may end up seeing fees for service on your final invoice for things such as an “online enrollment fee,” “program administration fee,” “consulting and implementation fee” and even something as ridiculous as a “low participation fee.”  What are these fees for? Sadly, they are basically fluff and simply a source of revenue for these vendors.

I’ll break down these fees for you, which we often see locally in the Northwest, so the next time you request a proposal, you can challenge them to get a true all-inclusive cost per participant before your screening event begins.

Check out our one-page pricing proposal, an example of a company with 289 employees across multiple states, requiring extensive travel, such as flights, hotel and rental cars. Notice all fees are bundled into one flat price per participant based on various levels of participation.

Online Enrollment Fee

You might get a proposal/quote for $38 per person for screenings, then find out there’s a $5 “online enrollment fee” for each participant, which basically means that all participants who sign up for their screening online will trigger a charge for an additional $5. So the real cost is $43 per participant, since it’s usually required that participants register online and schedule an appointment. 

Program Administration Fee

Program administration fees are for services related to managing all aspects of the event(s), and can sometimes be legitimate fees. However, it’s very important to make sure you know all services that are included with this. Administration should include: online registration and scheduling, marketing to employees, logistics and coordination, as well as any other activities that would otherwise obligate your HR staff. At Kadalyst, we even throw in a custom animated video, (like the one below) to better educate and promote your screening event. So heads up HR folks, make sure if you’re paying this fee, that your workload is actually lightened.

Biometric Health Screening Overview from Kadalyst Health Partners.

Consulting & Implementation Fee

A consulting and implementation fee is another one to pay close attention to, as it can be a bit arbitrary if you don’t ask for a checklist of exactly what this fee includes. Plus, when you do get the checklist, there may be items you’re already doing, so again, make sure you know exactly what you’re paying for upfront. The initial information gathering and discovery process should come at the cost of doing business, not a cost to you.

 Low Participation Fee

A low participation fee occurs when the minimum number of participants that are supposed to be screened (as outlined by the vendor in the contract) is not met. Watch out for this fee and any “site minimums,” as it may be required for all days and locations where you are hosting your screening events, which can be very costly. Use your past participation rates as a guide to predict future participation and avoid this fee.

 I recently spoke with one of our clients, Sam Meneses, HR Coordinator at Nautilus, Inc., an exercise equipment manufacturer headquartered in the Vancouver, WA, she had this to share:

 "My previous biometric vendor had a 'minimum participation requirement' for one of my remote locations, which has fewer employees than our main location.  This required much of my time to coordinate the event, drive up participation, and try to schedule as many employees as I could, or receive a penalty fee.  With Kadalyst I don't have to worry about things like this!" 

Now that you’re armed with a bit more information on some potential hidden fees, it’s only fair to show our hand and all the variable pricing that comes into play before we shoot out a proposal. Check out our pricing menu here.

Watch for my last post in this series, “Health Screening Operations,” in which I'll shed some light on the inner workings of a successful screening event.

If you need a second look at your current vendor's proposal, feel free to reach out to me directly and I'd be happy to review it with you.

Or request a brand new all-inclusive pricing proposal from us. We'd love to work with you!

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