Bob Herman writes for Modern Healthcare about the consequences of shifting more out-of-pocket healthcare expenses to employees.
Read the full original article from Modern Healthcare.
Although US census data shows that uninsured rates have dropped to this new low, “separate census data showed that medical out-of-pocket expenses dragged 11.2 million people into poverty in 2015, a potential symptom of shifting employees and individuals into health plans that have higher deductibles, copays and coinsurance rates.” The Cadillac tax is one reason listed for many employers moving to HDHPs, with more costs being shifted to employees.
While job-based health coverage still remains prevalent, it's clear that cost shifting is keeping people from being able to afford their healthcare coverage. Many small to midsize businesses have turned to innovative solutions such as partial self-insurnace, which saves organizations money while eliminating out-of-pocket costs for employees.
Download the Nonstop Quick Guide to Partial Self-Insurance to learn more:
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