Healthcare costs south of the border are scheduled to further increase in 2012, and that jump will be met by increased deductibles for employees, according to new research from U.S. consulting firm PwC.
For its report Behind the Numbers: Medical cost trends for 2012, PwC surveyed about 1,700 U.S. employers from 30 industries whose plans cover more than 80 million lives collectively. The company estimates that medical costs are expected to rise to 8.5% next year, an increase from the 8% jump projected for 2011. The report points to three factors for the cost increase: continued mergers of hospitals and medical facilities, resulting in fewer provider options and increasing service costs; cost shifting from Medicare to Medicaid; and post-recession stress increasing employees’ health issues.
To offset the cost increases, PwC’s research found that companies would increase employee deductibles. While only 11% of companies surveyed in 2009 reported having deductibles of $1,000 or more, that number is expected to rise to 28% in 2012. In addition, 54% of employers will have deductibles of at least $400 in 2012, compared with 31% in 2009.