Are EAP’s cost effective?

An EAP’s early intervention and referral service has been shown to be effective at reducing the cost of treatment under a medical plan. Keeping claims under the medical plan low results in a lower medical plan premium at renewal. As the cost of the medical plan far exceeds the cost of the EAP program, studies have estimated that for every $1 spent on an EAP program results in a $3 savings in other employee benefit programs.