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Morning Briefing

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Wednesday, Aug 9 2017

Full Issue

Those With Employer-Sponsored Health Plans Won't See Outrageous Spikes, But Costs Will Rise

As prices continue to go up, employers may begin to explore different cost-saving measures such as offering at least one high-deductible health plan.

Large employers estimate that the employee share of health insurance costs next year will be $4,400, up from $4,200 this year, according to a new report from the National Business Group on Health. On average, employers will continue to cover about 70 percent of the total costs, which they project will increase by 5 percent to $14,156. (Braverman, 8/8)

The shrinking unemployment rate has been a healthy turn for people with job-based benefits. Eager to attract help in a tight labor market and unsure of Obamacare鈥檚 future, large employers are newly committed to maintaining coverage for workers and often their families, according to new research and interviews with analysts. (Hancock, 8/8)

Instead of looking to reduce demand by shifting costs to employees, large employers are increasingly hoping to constrain health insurance cost growth through value-based contracts with providers, according to聽a survey聽released Tuesday by the National Business Group on Health.聽High performance-networks, or narrow networks, declined in popularity from 26% to 19%, though the report added: "If health care cost trend begins to increase again, this may be one of the first areas employers go in to rein in costs." (Lee, 8/8)

This is part of the Morning Briefing, a summary of health policy coverage from major news organizations. Sign up for an email subscription.
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