Navigation Links
HSA Plans Gain Popularity as Premium Costs Rise
Date:9/26/2007

Hewitt Data Good News for Future Cost Controls, Says NCPA's Goodman

DALLAS, Sept. 26 /PRNewswire-USNewswire/ -- About half of all employers are expected to soon offer Health Savings Account (HSA) plans to their employees. This projection offers the best hope for restraining runaway health care costs, according to John Goodman, president of the National Center for Policy Analysis (NCPA).

"The best way to control health care costs is to put patients in control of more of their health care dollars," said Goodman. "The increasing popularity of HSAs is a result of managed care's failure."

According to a report released this week by Hewitt and Associates, a global human resources company, "account-based plans are gaining traction by employers as a way to control costs." Hewitt's research found that more than 20 percent of companies offer, or plan to offer, a high-deductible health plan with an HSA by the end of this year and almost half are considering offering one at a future date. While just 3 percent of employees elected these plans last year, most companies anticipate that enrollment will grow to 20 percent in 5 years.

A major factor in the movement towards consumer-directed health care plans is the ever-increasing premium rates. While employers enjoyed a nine-year low in health care cost rate increases this year -- a 5.3 percent average increase, down from 7.9 percent in 2006 -- that is expected to change in 2008. Premiums are expected to rise by an average of 8.7 percent in 2008. For example:

-- Premiums for traditional indemnity plans increased 9.1 percent in

2007 and are expected to increase 9.0 percent in 2008;

-- Premiums for HMOs increased 8.7 percent in 2007 and are expected to

increase 9.0 in 2008;

-- Premiums for point-of-service (POS) plans increased 3.9 percent in

2007 and are expected to increase 8.5 percent in 2008;

-- Premiums for preferred provider organizations (PPOs) increased 2.4

percent in 2007 and are expected to increase 8.5 percent in 2008.

"While the movement towards HSA plans is encouraging, the real issue is much deeper than putting patients in the driver's seat," said Goodman. "We are suffering today because we systematically suppressed the market in every aspect of medical care for more than 100 years. The solution is long overdue: bring the market back to life."


'/>"/>
SOURCE National Center for Policy Analysis
Copyright©2007 PR Newswire.
All rights reserved

Related medicine news :

1. France plans to protects its citizens from bird flu
2. MSI puts on hold plans for operations in Chennai
3. Antigenics Pharmaceuticals plans for Phase III trial of its Melanoma vaccine
4. Wockhardt Group Plans Hospital In Delhi By End-2007
5. Alberta’s New Reform Plans In Health Care Secto
6. Blue Cross Signs Up 110,000 Minnesotans For Part D Medicare Plans
7. Little Clinic LLC Plans Super Medical Clinics in Publix Super Markets
8. Medicare Drug Plans Are Onerous and Restrictive
9. Rajasthan Plans To Run Christian Institutions
10. Britains Bird Flu Contingency Plans Faces Criticism
11. Coraki Community Wants To Know About the Plans for the Campbell Hospital
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:5/26/2016)... ... May 26, 2016 , ... An April Gallup survey found rising ... 550 employees of Sun Health Senior Living (SHSL) may not share those ... doctor and prescription copays for the year, while holding the line on increasing their ...
(Date:5/26/2016)... ... May 26, 2016 , ... The Lung Institute ... a six-week smoking cessation class starting June 6 at their clinic in downtown Tampa. ... . , Additionally, the Lung Institute has created a free downloadable 4 Week ...
(Date:5/26/2016)... ... May 26, 2016 , ... ... Top Doc! Along with his wonderful accolades and stellar patient reviews, Dr. Batelli ... Dr. Batelli! , Dr. Eugene Batelli is a highly trained Podiatric Surgeon who ...
(Date:5/26/2016)... ... May 26, 2016 , ... A health conscious snack that doesn't ... Bar, has ignited an undeniable buzz in the protein product community by offering ... any doughnut.  These doughnuts are packed with 11 grams of protein and made from ...
(Date:5/26/2016)... York, NY (PRWEB) , ... May 26, 2016 , ... ... have lips been so central to popular cosmetic improvement efforts. Record numbers of clients ... kissers appear more prominent or pouty, says Kally Papantoniou, MD, of Advanced Dermatology ...
Breaking Medicine News(10 mins):
(Date:5/24/2016)... , May 24, 2016 ... beide primären Endpunkte und demonstriert ... in ‚ausgezeichneter plus guter , ...    ,      (Logo: http://photos.prnewswire.com/prnh/20130829/633895-a ... heute neue positive Daten von der MORA-Studie der ...
(Date:5/24/2016)... 2016 Celsion Corporation (NASDAQ: ... provided an update on its ongoing OVATION study, ... GEN-1, the Company,s DNA-based immunotherapy, with the standard ... with advanced ovarian cancer who will undergo neoadjuvant ... an IL-12 DNA plasmid vector formulated as a ...
(Date:5/24/2016)... May 24, 2016 Open Access ... Clinical Neurophysiology  Elsevier , a world-leading ... services, today announced the launch of Clinical ... journal that focuses on clinical practice issues in clinical ... clinical series, normal values and didactic reviews. It is ...
Breaking Medicine Technology: