Employers shifting health-care costs to workers, survey shows

washington post ^ | 9/2/2010 | David S. Hilzenrath

[tobyhill]

Amid high unemployment and a weak economy, employers have been shifting health care costs to workers, according to a study released Thursday.

The premiums that employees pay for employer-sponsored family coverage rose an average of 13.7 percent this year, while the amount that employers contribute fell by 0.9 percent, the survey found.

For family coverage, workers are paying an average of $3,997, up $482 from last year, while employers are paying an average of $9,773, down $87, according to the survey by the Kaiser Family Foundation and the Health Research & Educational Trust.

With so many people out of work, employees have little power to demand a better deal, the organizations said.

Overall, premiums for employer-sponsored coverage - the amounts paid by employer and employee combined - rose an average of 3 percent for family coverage and 5 percent for single coverage, the survey found. That was modest by historical standards. But the costs fell disproportionately on employees.

[STONEWALLS]

“I believe health insurance became an employment benefit during WW2 as a way to circumvent wage restrictions.”

...yep...that’s how it started according to my parents who lived thru that era....plus there was a labor shortage during the war, hense health insurance helped a business recruit workers...it was so popular that it became a fixture in American business...but I don’t think anybody ever figured it would balloon out of control like this.

[NoGrayZone]

My employer paid for my health insurance 100% (was part of the package).

Now I pay a piddly $50 a paycheck. Big whoop dee doo. I would smack myself upside the head if I EVER dared to complain about that!

[nascarnation]

Do you feel their salaries should be capped.... or let a free market decide?

If the consumer is insulated from costs via employer or government paid insurance, the free market is distorted.

And yes, tort lawyers add another massive layer of costs. Their standard of living (ex: Breck Girl) dwarfs most physicians.

[CynicalBear]

>>I agree in theory, just not sure how many folks can absorb a $5-10K expense<<

Look at the example in the article. If the employer gave the money to the employee instead the employee wouldn’t be out any money but the employer would not have the hassles. The employee would be much more frugal with the money too.

[VeniVidiVici]

I was at my doc’s office yesterday. I’ve had no clue which side of the aisle the doc, his two nurses and desk chick belonged to.

So when checking out at the desk they were all standing there and we were talking about Facebook and Obama’s name came up.

Almost in unison they all threw-up their hands and did one of those Archie Bunker “Aw, geez. Did you have to go and bring that guy up?”

I was pleasantly surprised.

[GailA]

Let me get this straight. We're going to be "gifted" with a health care plan we are forced to purchase and fined if we don't, written by a committee whose chairman says he doesn't understand it, passed by a Congress that hasn't read it but exempts themselves from it, to be signed by a president who smokes, with funding administered by a treasury chief who didn't pay his taxes, to be overseen by a surgeon general who is obese, and financed by a country that's broke;

What the hell could possibly go wrong?

I don't feel old. I don't feel anything until noon. Then it's time for my nap.
Bob Hope

[WOBBLY BOB]

The new message:’Improve’ health care, don’t talk cost

Key White House allies are dramatically shifting their attempts to defend health care legislation, abandoning claims that it will reduce costs and deficit, and instead stressing a promise to “improve it.” The messaging shift was circulated this afternoon on a conference call and PowerPoint presentation organized by FamiliesUSA — one of the central groups in the push for the initial legislation. The call was led by a staffer for the Herndon Alliance, which includes leading labor groups and other health care allies. It was based on polling from three top Democratic pollsters, John Anzalone, Celinda Lake, and Stan Greenberg.

http://www.politico.com/blogs/bensmith/0810/The_new_message_Improve_health_care_dont_talk_cost.html?showall

I can’t wait for the rationing they also claimed won’t happen.