U.S. employers expect total health-care costs to jump five per cent both this year and next year, research by Willis Towers Watson has found. That could bring average per employee costs to $12,338 in 2016 and approaching $13,000 in 2017.
Nevertheless, a strong majority (81 per cent) of employers that responded to the research said they’ll only make minor changes to employee premium contributions, deductibles and out-of-pocket limits for 2017.
Read: A look at the tools to address drug plan cost pressures
“With employee affordability concerns paramount, in 2017 employers will focus primarily on changing coverage provisions for costly services to manage cost,” said Julie Stone, a national health-care practice leader at Willis Towers Watson, in a news release. “These include more restrictive pharmacy benefits, the continuing addition of surcharges for working spouse and dependent coverage, and offering incentives to encourage employees to use centers of excellence for specialty services.”
Most respondents (88 per cent) plan to prioritize managing pharmacy spending for high-cost specialty drugs over the next three years. Their cost control strategies include programs to ensure correct usage, addressing specialty spending that occurs through the medical benefit plan, and differentiating benefit coverage to influence site of care.
Read: What drives the cost of benefits?
The survey also found costs from employees’ families to be a concern. Today, just over a quarter (28 per cent) of employers add surcharges — on average, an additional $100 per month — for coverage if it’s already available through the employee’s spouse’s employer. By 2018, Willis Towers Watson expects the number of employers adding these surcharges will double.
Other cost-saving measures that U.S. employers are considering include increasing enrollment in high-deductible health plans with tax-advantaged savings accounts; offering incentives for staff to use proven clinics when seeking back, knee, cardiac and infertility treatment; and requiring staff to participate in other health-related activities to reduce employee cost sharing.
Read: A look at how companies are addressing chronic disease through proactive screening