National Business Group on Health releases new report concerning employer-sponsored health insurance
The National Business Group on Health, a conglomeration of companies in the public sector, has released a new report forecasting the future of employer-sponsored health insurance. The report, which is the latest in an annual series, surveys 342 businesses and examines their stance on providing health insurance for their employees. Over the past several months, employers have expressed concern for the apparent rapid pace at which health insurance rates were growing. The report suggests that this may not be the case and that the growth of premiums may actually be slowing down.
Report shows that health insurance rates are growing more slowly than anticipated
The report indicates that most employers expect to see health insurance become more expensive. Though some companies have shown concern for rates becoming too expensive in the near future, the report shows that employers can expect to see rates jump by just 7% in 2013. This is well below what had been predicted months before and could provide some businesses with peace of mind concerning the insurance coverage they provide to employees. The slowing pace of rate increases for businesses may mean that employees will not have to worry about losing their coverage due to companies cutting costs.
Slowing trend emerged before the passage of the Affordable Care Act
The report shows that the slow rate of growth in health insurance premiums is likely to be an ongoing trend. This particular trend began well before the passing of the Affordable Care Act and is likely to continue if the federal law is eventually overturned through future legislation. The emergence of the trend is suggested to be due to the falling cost of medical care. This phenomenon occurred during the height of the economic recession, when many consumers chose to forego medical care due to their inability to afford it.
Wellness programs may be playing a big role in employer health insurance
The report shows that employers continue to adopt wellness programs at a rapid pace. This is likely to have a major impact on the cost of health insurance as it provides employees with methods to keep themselves healthy. These programs have also become quite popular with employees, who have been participating in the programs more enthusiastically.
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