U.S. employers this year encounter their “smallest increases in overall health care fees in 15 years,” according to a new survey exhibiting the newest proof of health inflation slowing.
Towers Watson (TW), an employee rewards consulting firm and the Nationwide Enterprise Group on Well being, an association of large employers, mentioned the cost of supplying employer-sponsored advantages will rise four.4 % this 12 months. Employer charges, which have been $ 9,157 last yr, are projected to rise to $ 9,560 in 2014.
The trend comes as employers move to increased deductible wellness care plans that make staff think twice about selecting pricey tests and procedures, forcing workers to grow to be better overall health care consumers. Employers are also installing further new strategies to encourage wellness actions this kind of as financial incentives to stop smoking.
“To locate a lot more successful methods to deal with well being fees, several employers are focusing on reshaping their overall health strategy for the next three to 5 years,” said Towers Watson senior wellness care advisor Ron Fontanetta of the survey of 595 big U.S. employers that have far more than eleven million full-time employees, which includes 7.eight million enrolled in wellness positive aspects.
Most respondents to the survey are “recalibrating their overall health strategy” with 18 % getting both adopted a new method or up to date an current one particular, the Towers Watson executive summary of the report stated. One more 57 % of respondents are “in approach,” the summary added.
Two in five respondents cite the Affordable Care Act as the major driver of their wellness care method.
Nevertheless, the survey demonstrates little proof that these big employers will drop coverage for their workers and send workers to the public exchanges under the health law to purchase insurance. The vast bulk, or 95 %, of respondents said subsidizing well being care coverage is a “very important” part of their advantages packages for energetic workers.
“Employers that no longer want to sponsor overall health care advantages could send their personnel to a public exchange, although confidence in those stays fairly minimal,” said Helen Darling, president and chief executive officer of Nationwide Enterprise Group on Health, a coalition of 390 employers, which includes American Express American Express (AXP), Boeing Boeing (BA), JPM Morgan Chase Chase (JPM) and Pfizer (PFE).
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