Per the Kaiser Family Foundation, average annual premiums for employer-sponsored family health coverage reached $19,616 this year, up an additional 5% from last year.
Employees paid an average $5,714 out of pocket in premiums alone. This outrageous cost for insurance, is hurting both employees and employer groups.
Unfortunately, for most organizations, these costs are projected to grow exponentially, with no end in sight.
Why are healthcare costs rising so quickly? Factors such as being overcharged by providers, hidden fees, exploitive processes, and many more, prey on the checkbooks of uninformed individuals and have driven up the bottom line of employer beneﬁt packages.
It’s no secret that the health insurance model is broken. Once well-intentioned, health insurance service has degraded into a fragmented, confusing labyrinth of bureaucracy. Recent surveys suggest that only 4% of Americans understand health insurance jargon which results in wasteful spending and frustrated members.
These frustrations have most employer groups shouting, “Enough is enough!” Mid-market employers (deﬁned as organizations with under 2,000 employees) are tired of being forced to oﬀer mediocre beneﬁts at an outlandish cost.
Luckily, there is an alternative: a high performance, self-funded beneﬁt program that focuses on employee engagement and navigation.