Health premiums for workers have been increasing 19% on
average since 2011, despite a slowing in the overall growth for health care
spending, while company shares of premiums have increased 14% since 2011. In addition, deductibles, co-pays, and
co-insurance costs have been rising quickly.
One reason for this is a desire for more awareness by
workers for the true cost of health care.
Employers believe that by having employees pay more of the cost
themselves, they’d be more conservative and cost-conscious in making
appointments and getting tests and procedures.
Another reason is a “Cadillac tax” coming in 2018 that would
cause companies with health plans over certain designated amounts to pay a 40%
tax on the excess of those amounts.
Increasing out of pocket expenses is a way for companies to decrease
amounts calculated in that tax, as premiums are counted, out of pocket expenses
are not counted.
The idea that workers will be more contentious if they are responsible for more of the cost of their own insurance is valid and probably saves the company a good deal of money.
ReplyDeleteBut could the hope to make employees think twice before going to the doctor possibly have a negative effect of making employees less healthy, and less likely to catch something through preventative doctor's visits before something becomes worse, and thus more expensive (both through medical bills but potential loss of work hours)?
DeleteIt is certainly possible that making employees think twice before going to the doctor could have a negative effect of making employees less healthy. However, I believe the money lost from providing healthcare to these unhealthy employees will be less than the money saved from employees being more conservative in making visits to the doctor.
ReplyDelete