Concerns are growing for both employers and employees as the cost of health insurance rises in the United States next year. According to estimates, the number of employees will increase by 8. 2 % by 2027, the highest rate in 20 years.
Many employers also anticipate that the cost of their health strategies will improve by an average of up to 11 %, this taking into account saving methods and higher deductibles, according to an analysis developed and just presented by consulting firm Marsh.
According to the study, one of the main causes of this rise is the decline in the number of health providers, the rise in the cost of treating severe illnesses like cancer, and the rise in the cost of medications like GLP-1, despite the fact that some employers have implemented qualification requirements while others are removing that coverage.
However, companies are not the only ones who are responsible for paying for medical costs; they typically only pay 80 % of the cost, while the other 20 % is paid for by employees. Over a long period of more than 20 years, that department has remained fairly constant. According to Matthew Rae, associate director of KFF's healthcare market, "here has generally, when prices have risen, workers and employers have shared the problem. "
According to a study conducted by the Employee Benefit Research Institute ( EBRI ) in collaboration with Lincoln Financial, these high costs also come at a time when only 28 % of employees are financially prepared to cover health-related expenses.
Medical bills are not always isolated cases, according to Bridget Bearden, director of account development and relationships at EBRI. Some employees have much money to cover these expenses, and concerns about accessibility are putting off the health care they need, he said.
According to the results of the survey conducted by EBRI and Lincoln Financial, 44 % of employees do not have enough savings for unanticipated medical expenses, while 53 % claim to have to pay it out of their own pocket in the event of an emergency.
And on average, employees will spend about$ 5,300 on health insurance premiums and pocket expenses, which is an increase of 7 % compared to last year, according to insurance consultant Aon.
After many years of significant cost increases, many people may feel as though they have no additional choice, according to Beth Umland, head of research for companies at Marsh for businesses ' health and benefits.
Therefore, it is anticipated that at least half of employers will alter their health insurance policies for the upcoming year, including increasing deductibles, which will increase spending from employees ' hands.
In this context, Bearden noted that" as care costs continue to rise, strengthening the economic tenacity of workers will become more important. "
