Navigation Links
Health Plan Executives Foresee Continued Decline in Small Business Enrollment, According to CSC Survey
Date:12/17/2008

Majority Predict Increase in Consumer-directed Plan Participation

FALLS CHURCH, Va., Dec. 17 /PRNewswire/ --Nearly three-quarters of health plan executives expect the current economic crisis to have a greater impact on their business than the 2001-2002 downturn, according to a survey released today by CSC (NYSE: CSC) entitled, "Insuring the Future: Health Plans Respond to the Financial Crisis." While few expect immediate changes in enrollment and membership levels, more than two-thirds expressed concern that continued rising unemployment would drastically affect their plan operations and profitability.

Fifty-four percent of health plan executives expect small group/business plan renewal to decrease as businesses fail and other market pressures force small companies to eliminate health coverage for employees. Large employers are expected to maintain their commitment to group health insurance coverage; less than 31 percent of health plan executives expect a decrease in large group plan renewals. However, almost three-quarters of plan executives foresee an increase in consumer-directed plans with higher deductibles and lower premiums as employers shift more of the cost to their employees. Nearly two-thirds expect an increase in government program enrollment as economic disruption and unemployment expand welfare participation.

Fewer than 15 percent of health plan executives predict significant layoffs or other cutbacks in their immediate future. Cost-cutting efforts will remain a top priority, according to almost 50 percent of those surveyed, as will projects directed at growth in selected market segments.

Plan executives also expressed concern regarding their provider networks, where the effects of unemployment and economic dislocation are felt almost immediately. Of those surveyed, 73 percent said they expect to see cash flow difficulties among their affiliated providers, and 54 percent foresee the economy impacting the access and availability of some provider networks.

"The credit crisis, exacerbated by rising unemployment, is decreasing access to healthcare around the country," said Deward Watts, president of CSC's Global Healthcare Sector. "As businesses look to reduce costs, many will choose products that shift financial responsibility to employees, and others will choose to drop health benefits altogether. To remain competitive and grow, health plans must act quickly to design products and implement programs to meet the needs of these 'new consumers,' and to meet the product and benefit requirements of employers, their traditional customers.

Survey research was conducted in November 2008. CSC interviewed 30 senior executives representing 26 health plans. Eighty-three percent of the participants hold C-level positions. To view the results report, visit http://www.csc.com/health_plan_survey.

CSC's Global Healthcare Sector, which serves healthcare providers, health plans, pharmaceutical and medical device manufacturers, and allied industries around the world, is a global leader in transforming the healthcare industry through the effective use of information to improve healthcare outcomes, decision-making and operating efficiency.

About CSC

CSC is a global leader in providing technology-enabled solutions and services through three primary lines of business. These include Business Solutions & Services, Global Outsourcing Services and the North American Public Sector. CSC's advanced capabilities include systems design and integration, information technology and business process outsourcing, applications software development, Web and application hosting, mission support and management consulting. Headquartered in Falls Church, Va., CSC has approximately 91,000 employees and reported revenue of $17.3 billion for the 12 months ended Oct. 3, 2008. For more information, visit the company's Web site at www.csc.com.


'/>"/>
SOURCE CSC
Copyright©2008 PR Newswire.
All rights reserved

Related medicine news :

1. HIMSS Releases Health IT Blueprint for Obama Administration and Congress
2. Life Sciences Discovery awards health research program grants
3. Visionary Undertaking for Global E-Health Education
4. VirtualHealth Technologies, Inc. Appoints Former DEA Assistant Administrator to its Advisory Board
5. Vivisimo Search Delivers Medical Knowledge to Global Health-Care Community
6. Healthcare Costs Prevented Nearly 40 Million Americans From Filling Their Prescriptions in 2008
7. Atrius Health Selects rL Solutions for Improved Patient Safety and Quality of Care
8. BELLUS Health announces formal notice to voluntarily delist from NASDAQ
9. Dermique and Healthcommunities.com Launch Cellulitechannel.com
10. Health Department Reports South-Central Regions First Lab-Confirmed Influenza Case of the Season
11. UIC receives $16 million to study impact of environment on kids health
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:7/23/2017)... ... 23, 2017 , ... Better education to coaches and parents ... work today at the American Orthopaedic Society for Sports Medicine’ s ... to prospectively document the association between sports specialization and lower extremity injuries in ...
(Date:7/23/2017)... ... July 23, 2017 , ... “Squiggy’s Outdoor Adventure”: a turtle’s backyard ... the creation of published author, Paula Christian, a wife and mother to three amazing, ... family, who center their lives on God. She loves to tell stories to ...
(Date:7/21/2017)... ... , ... "As a doctor of lung medicine managing chest diseases for more ... said an inventor from Center Valley, Pa. "My idea is to improve the device ... the patent-pending PLEURAL SAFE-t-STAT CATHETER KIT to offer an efficient means of draining pleural ...
(Date:7/21/2017)... ... July 21, 2017 , ... The Karen Miller Agency, a ... in the greater Birmingham area, is joining the Chris Hammond Youth Foundation in ... the region. , The Chris Hammond Youth Foundation maintains athletic facilities in rural ...
(Date:7/21/2017)... ... July 21, 2017 , ... Bernard R. Bach, Jr., MD, orthopaedic surgeon at ... Orthopaedic Society of Sports Medicine (AOSSM) , received the 2017 Robert E. Leach Sports ... Toronto, Canada. This prestigious award is given annually to honor those who have made ...
Breaking Medicine News(10 mins):
(Date:7/14/2017)... 13, 2017 It should come as no surprise ... is in the midst of a crippling opioid epidemic. According ... the number of overdose deaths from opiate-based medications has quadrupled, ... a million dead from 2001 to 2015". During this time, ... has similarly quadrupled, drawing a compelling link between prescription and ...
(Date:7/13/2017)... 2017 RK Logistics Group, Inc. was awarded ... its Fremont, CA headquarters facility where ... and San Jose for hi-tech, pharmaceutical ... , with its Fremont Innovation District, is excited to ... powerful resource to the hundreds of biotech, pharma and biomed ...
(Date:7/12/2017)... -- CarpalAID is a revolutionary new product that relieves painful carpal ... tunnel syndrome affects more than 8 million people a year. Women ... The common methods of treating CTS are painful surgery, the use ... gloves. ... CarpalAID is a clear patch worn on the palm of the ...
Breaking Medicine Technology: