Benefits costs down in U.S.

The actions U.S. employers have taken to better manage the costs of their benefits plans are showing real results, according to the National Survey of Employer-sponsored Health Plans, conducted annually by Mercer and released today.

Growth in the average total health benefits costs per employee slowed from 6.1% last year to 4.1% in 2012.

For employers with 10 to 499 employees, total health costs per employee were $9,913, an increase of 2.2% over the previous year. Total health costs per employee for employers with 500 or more employees were $11,003, a 5.4% increase.

Employers expect another relatively low increase of 5.0% for 2013. However, this increase reflects changes they plan to make to reduce costs; if they made no changes, costs would rise by an average of 7.4%.

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

Mercer’s nationally projectable annual survey includes public and private organizations with 10 or more employees; more than 2,800 employers responded in 2012.