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Survey: In face of rising costs, fewer companies offer health benefits

Case Management Weekly, October 6, 2005

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As health insurance costs rise, the number of companies offering health benefits to employees is on the decline, according to a national survey by the Kaiser Family Foundation.

The survey found that about 60% of companies nationwide offer health benefits to employees, compared to 69% in 2000. Most of the companies that eliminated health benefits have fewer than 200 employees.

The annual survey estimated insurance premiums rose this year by an average of 9.2% nationwide, compared to 11.2% last year and 13.9% in 2003. Premium costs are rising at about three times the rate of increase of the average worker's earnings and at about two-and-a-half times the rate of inflation, according to the survey.

The survey also found that about one-fifth of employers now offer high-deductible health plans, but only 1.6 million people are enrolled in such plans.

To read more, click here.

Source: Patient Financial Services Weekly Advisor, HCPro, Inc.

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