Friday, December 3, 2010

Public employers modifying health benefits - Puget Sound Business Journal (Seattle):

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The survey, conducted by Brookfield-based , showed public employers nationwidee are modifying their employee health care benefitws to includemore cost-saving measures. The survey found that 72 percenr of public employers are increasinfg or considering an increase intheir employees’ coinsurance or copays. In addition, 74 percent of publiv employers are increasing or considering an increasew inemployee premiums. When asked why they were considerintghigher deductibles, 46 percent of public employers cite the financial crisis.
Almosf the same percent, 45 percent, cite the crisis as the reaso n why they are thinking about higheremployee “These findings are surprising, although cost-sharing measures have been commom in the corporate world for quite some public employers have traditionally not modifiec their health care plansw in this direction,” Sally Natchek, senior director of research at the foundation said in a statement. “The fact that the majority of public employeres are now increasing copays and premiums illustratess the dual effect rising health care costs and the financial crisis are having ontheir plans.
” Other cost-saving programs that publix employers are instituting includwe adding a consumer-driven health plan, shifting to a self-funded plan and introducinvg spousal surcharges. Nearly three-fourths of public plan sponsores are placing more emphasis on controlling prescriptiondrug costs. The majoritty of public employers are expanding participanf education about drug optionsand costs, increasing copayments and/or coinsurancse for drugs and mandating the use of generic the survey found.

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