Although the cost of claims for employer-sponsored health plans are slightly lower than six months ago, a new study finds these costs are rising at double-digit rates.
Wells Fargo Insurance Services recently surveyed 60 insurance companies between February and March.
Reflecting claim activity over a six-month period, projected increases in the national average cost of claims include:
- Health maintenance organizations (HMO) and point-of-sale plans (POS) – 9.6 percent increase
- Preferred provider organizations (PPO) and consumer driven health plans (CDHP) – 10 percent increase
- Exclusive provider organizations (EPO) – 10.6 percent increase
- Indemnity plans – 11.1 percent increase
- Prescription plans – 8.7 increase

Dan Gowen, senior vice president of Wells Fargo Insurance Services, said the continued cost increase suggests employer premiums will rise at a similar rate, as insurance companies anticipate costs based on claim trends.
Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.
Your access to unlimited BenefitsPRO content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
