Everyone will see costs going up for 2018, probably by close to record amounts.
- Employees of medium and larger corporations. These companies have group health insurance. AON forecasts a 3.9% increase in cost for the corporation, and a 7.8% increase in costs for employees.
- Workers sourcing health insurance through the Marketplace have potentially much higher increases and great uncertainty due to Trump’s unwillingness to commit to supporting continuation of subsidies for ACA coverage. As I’ve reported previously, insurance companies have applied for rate increases ranging from 16.7% (New York) to more than 30% (Virginia).
However, the picture isn’t bleak for everyone.
Small businesses (under 100 employees) have options that could actually reduce health insurance spending for both companies and employees. Hybrid self-insurance plans represent a good option that companies in this range need to consider.