Growth in health benefit cost per employee slowed in 2012

Growth in health benefit cost per employee slowed in 2012
In 2012, growth in the average total health benefit cost per employee slowed to 4.1 percent, according to the National Survey of Employer-Sponsored Health Plans, published Nov. 14 by Mercer.

(HealthDay)—In 2012, growth in the average total health benefit cost per employee slowed to 4.1 percent, according to the National Survey of Employer-Sponsored Health Plans, published Nov. 14 by Mercer.

Researchers from Mercer used a national probability sample of 2,809 public and private employers with at least 10 employees to review trends in Employer-Sponsored Health Plans.

The authors note that growth in the average total cost per employee decreased from 6.1 percent in 2011 to 4.1 percent in 2012, with an average cost of $10,558 per employee in 2012. A higher increase (5.4 percent) and higher average cost ($11,003) was noted for larger employers with more than 500 employees. Assuming employers intend to continue reducing costs, the increase for 2013 should be around 5.0 percent. Cost-saving measures have included workforce , with 78 percent of large employers reporting that senior leadership is supportive or very supportive of these programs. Financial and other incentives and penalties have been implemented to encourage participation in heath management programs (54 percent of large employees).

"Employers are very aware that, in 2014, when the law's provisions kick in, they will be asked to cover more employees and face added cost pressure," Julio Portalatin, president and CEO of Mercer, said in a statement. "They've taken bold steps to soften the impact and it's paying off already."

More information: More Information

add to favorites email to friend print save as pdf

Related Stories

Employer-sponsored wellness programs on the rise

Mar 22, 2012

Organizations in the Chicago area report an increase of health-improvement and wellness programs according to a survey conducted in September 2011 by Aon Hewitt in partnership with Rush Health. The survey results will be ...

Report: Employers to see 2011 medical costs jump

Jun 14, 2010

(AP) -- Companies that offer employee health insurance expect another steep jump in medical costs next year, and more will ask workers to share a bigger chunk of the expense, according to a new PricewaterhouseCoopers report.

Recommended for you

More patients getting lab-grown body parts

8 hours ago

By the time 10-year-old Sarah Murnaghan finally got a lung transplant last week, she'd been waiting for months, and her parents had sued to give her a better chance at surgery. Her cystic fibrosis was threatening ...

Quality of waking hours determines ease of falling sleep

9 hours ago

The quality of wakefulness affects how quickly a mammal falls asleep, UT Southwestern Medical Center researchers report in a study that identifies two proteins never before linked to alertness and sleep-wake ...

User comments

More news stories

Decoding Rett syndrome: New pieces to the puzzle

(Medical Xpress)—Rett Syndrome is a neurological disorder that affects about 1 in 10,000 girls. Back in 1992, University of Edinburgh researcher Adrian Bird discovered that the protein, MeCP2, plays a major ...