Large Companies Expect an Increase in Cost of Employees’ Health-Care Plans

Companies with more than 50 employees are preparing for a 5 percent hike in the cost of health-care insurance plans – for an average of $14,000 per employee – according to a survey of 148 companies. The increases are associated with covering expensive specialty drugs and individuals with high medical costs.

Employees will pay 30 percent of the costs (an average of $4,400) in insurance premiums, out-of-pocket expenses, and contributions to health savings accounts.

However, this is still below the expected increases in the federal insurance marketplace, where consumers might see double-digit premium hikes.

The survey also revealed a shift toward high-deductible plans, with 40 percent of employers offering such plans as the only option and almost all employers offering at least one by 2018. These plans carry average deductibles of $1,500 for an individual and $3,250 for a family.

Source: The Washington Post, August 8, 2017.