Tuesday, November 25, 2008

News You Can Use: Average deductible tops $1,000

New survey results from Mercer reveal that for the first time this year, employees' average annual deductible for single coverage topped $1,000 -- a troubling sign for employers and workers alike who are struggling to pay for health care.

The average single person must now pay $1,001 in out of pocket expenses before coverage kicks in, a 17% increase from last year's average $859.

"Raising the deductible has become the fallback for employers faced with cost increases they can't handle," Mercer consultant Laura Baker told the LA Times. "It's the easiest way to reduce cost without taking more out of every employee's paycheck."

Michelle Dimarob, legislative affairs manager for the National Federal of Independent Businesses, added: "This is very reflective of the tough economic times we're in. Health care is truly a pocketbook issue for both employers and employees."

1 comment:

Jennifer Benz said...

Thanks for this post. Really important to think about the implications of those rising deductibles while employees' are struggling with finances. I just posted about that here: http://www.benzcommunications.com/blog/average-deductible-1000