Lyra Health Raises the Bar on Mental Health Care Savings
Lyra Health, a leading workforce mental health partner for employers and health plans, shared new findings from a mental health economics study by Aon, the global professional services firm. The analysis points to substantial health plan savings when employers, especially large ones, offer Lyra’s programs—and when employees actually use them.
Standout Savings in the First Year
In the first year of adding Lyra to its benefits, a Fortune 500 employer saw an average savings of $4,138 per member on health plan costs for people who engaged with Lyra. Those savings came largely from lower medical and prescription claim costs, a clear signal that timely, effective mental health care can curb broader health spending.
The same employer also recorded a 60% drop in spending for members with alcohol and substance use disorders—conditions that are both complex and costly. The takeaway: targeted, high-quality care doesn’t just help people get better; it helps organizations rein in avoidable costs tied to serious health issues.
Why Effective Mental Health Care Matters
Many companies wrestle with rising health costs driven by chronic conditions and complex mental health needs. A familiar pattern shows up again and again: roughly 20% of insured members account for about 80% of total health care spending, with alcohol and substance use disorders among the major drivers. Fragmented systems and inconsistent treatment often push people toward multiple, expensive interventions.
“Inadequate early intervention can lead to unnecessary emergency visits, lengthy hospital stays, and dependence on expensive medications,” remarks Dr. Connie Chen, Chief Operating Officer of Lyra Health. The study reinforces what many leaders see in practice: traditional health plans can produce higher costs and lower rates of timely intervention compared with Lyra’s tailored model.
Getting People Timely, Evidence-Based Care
Lyra emphasizes evidence-based, personalized care that helps members act early and stay engaged. Members who worked with Lyra had fewer emergency department visits and generated an overall savings of $2,566 across professional, inpatient, and outpatient mental health services.
That kind of consistent, timely support tends to prevent crises before they escalate. Fewer emergencies. Fewer hospitalizations. More steady progress, which shows up in both outcomes and costs.
High-Quality Care Converts to Savings
Aon compared health care spending for individuals who used Lyra with a similar control group at the same employer who did not. This like-for-like design helps isolate the financial impact of Lyra’s approach while accounting for seasonality and complex health profiles, giving decision-makers a clearer picture of what’s driving savings.
Reliable, Comprehensive Results
Lyra relies on a rigorous methodology designed to produce findings that are both trustworthy and repeatable—avoiding the skewed views that can come from selective reporting. The study highlights several advantages of Lyra’s model:
- Cost-effective mental health care: With an extensive network of evidence-based providers and a strong commitment to clinical research, Lyra helps members recover more efficiently. Members who used Lyra needed 37% fewer mental health sessions and corresponding visits—less churn, more impact.
- Reduced prescription dependency: Personalized care can reduce the need for medication. Members used antidepressants 78% less than non-participants and saw a 30% reduction in overall prescription spending, reflecting a shift toward effective, focused treatment.
- Savings across conditions: Mental and physical health are tightly linked. Members receiving thorough mental health care through Lyra saw savings between $3,303 and $7,837 for anxiety and mood disorders, along with improvements in conditions tied to metabolic and nutritional health—gains that ripple beyond mental health alone.
Ron Ozminkowski, Senior Vice President of Commercial Analytics at Aon, emphasizes, “Our analysis highlighted a 40% reduction in health plan expenditures for mental health and associated medical claims in the first year of using Lyra's services. For individuals requiring more intensive care, we observed a remarkable 60% drop in spending for those facing alcohol and substance use disorders.”
For a deeper look at the methods and findings, review Aon’s detailed reports.
About Lyra Health
Lyra Health is a pioneer in Workforce Mental Health benefits, serving more than 17 million people worldwide. Its model blends AI-driven provider matching with a digital platform that supports consistent, evidence-based care. By making it easier to access a broad network of skilled mental health practitioners and well-being resources, Lyra addresses diverse needs while supporting equitable outcomes across demographics. Peer-reviewed studies show Lyra’s care model accelerates recovery and reduces annual health care claims costs by 26%. For details on Lyra’s Workforce Mental Health offerings, visit the company’s official website.
Frequently Asked Questions
What savings did the Aon study identify?
In one Fortune 500 employer’s first year with Lyra, Aon found average savings of $4,138 per member among those who used Lyra, plus a 40% reduction in health plan spending for mental health and associated medical claims. For members with alcohol and substance use disorders, spending dropped by 60%.
How does Lyra improve access to care?
Lyra uses AI-driven provider matching and a digital platform to connect members quickly with evidence-based care. That timely, personalized fit helps people start sooner, stay engaged, and avoid unnecessary emergency visits and hospitalizations.
What’s the link between mental and physical health in these results?
The study underscores how closely they’re connected. Members receiving thorough mental health care through Lyra saw savings of $3,303 to $7,837 for anxiety and mood disorders, alongside improvements in metabolic and nutritional conditions.
Does Lyra reduce reliance on prescription medications?
Yes. Members who engaged with Lyra used antidepressants 78% less than non-participants and recorded a 30% drop in overall prescription spending.
Where can employers learn more?
Employers can review Aon’s detailed reports for methodology and results and visit Lyra Health’s official website for a full overview of Workforce Mental Health offerings.
