Kansas City, Kan. — Aug. 21
It’s no surprise that with a looming nursing shortage, obesity at epidemic levels and baby boomers entering their golden years that there isn’t any foreseeable end in sight to the rising cost of health care.
In fact, the 2012 Compensation Data Insurance survey results reported the average annual cost of insurance per employee on an insurance employer sponsored PPO plan is $8,428, up from $7,899 reported in 2010, an increase of 6.7 percent in two years.
The results found 81.9 percent of insurance employer sponsored PPO plans include a deductible or co-insurance requirement for services. The average deductible on an employee only PPO plan is $715, compared to $1,432 for an employee-plus-family plan. The average in-network out-of-pocket maximum on an employee plus family PPO plan is $4,393.
The use of consumer driven health plans (CDHPs) is on the rise as well. CDHPs typically pair an HDHP medical plan with a spending account, which can be used by the covered employee for their medical expenses. Health Savings Accounts (HSA) with an HDHP is the most common of these plans, as they are used by 46.5 percent of survey respondents. HSA contributions are made either by the employer or the employee and any unused balance can be carried forward.
Source: Compensation Data 2012 Insurance