Healthcare Costs Continue to Increase
With a new year comes new expectations about the state of healthcare:
- The cost of employer health coverage is expected to rise five percent in 2019, marking the sixth consecutive year with a five percent increase in self-funded plans.1
- Employers can expect to pay close to $15,000 per employee for healthcare benefits this year.2
- Under current law, national health spending is projected to reach $5.7 trillion by 2026.3
On a more optimistic note, the rising healthcare costs are driving more innovation and a refreshed sense of activism among employers. Self-insured employers say they are ready to adopt new strategies designed to control costs and improve the quality and experience of healthcare.
Teach Employees to Become Informed Healthcare Consumers
Traditional strategies aren't working to mitigate healthcare costs. One primary reason? Employees do not have the necessary knowledge or information to make smart healthcare choices.
“When you're asking employees to make [healthcare] decisions, and you haven't prepared them to be good consumers of care, it increases the likelihood of creating waste in the system through misuse, underuse and overuse of healthcare resources,” said Matt Eurey, senior vice president of business development for Accolade.
Eurey and Accolade Chief Actuary Carolyn Young recently hosted a webcast about personalized advocacy, a solution that helps individual navigate and optimize their use of healthcare.
Studies have shown that people want to be empowered to make better decisions when it comes to their health.4 To do that, though, they need access to a sophisticated and personalized service that helps them understand all their care options.
Personalized Advocacy is the Key
📷Healthcare is a complex system to navigate alone, which is why many employers are turning to personalized advocacy.
Read Taking Control of Medical and Prescription Claim Costs with Personalized Advocacy to find out how two companies lowered healthcare costs across their entire employee populations. The results demonstrate that savings occur during the first year and remain sustainable over time.
1 Employers: The gatekeepers to changing healthcare in 2019, Global Healthcare, https://www.healthcareglobal.com/public-health/employers-gatekeepers-changing-healthcare-2019
2 Large Employers' 2019 Health Care Strategy and Plan Design Survey, NBGH, https://www.businessgrouphealth.org/benchmarking/survey-reports/surveys-of-large-employers/
3 National Health Expenditure Fact Sheet, Centers for Medicare & Medicaid Services, https://www.cms.gov/research-statistics-data-and-systems/statistics-trends-and-reports/nationalhealthexpenddata/nhe-fact-sheet.html
4 The Empowered Consumer, PwC, https://www.pwc.com/gx/en/industries/healthcare/emerging-trends-pwc-healthcare/new-entrants-healthcare-provision.html