Health Premiums Rise To $12,680: Kaiser

By Staff Writer

September 24, 2008 at 11:00 AM

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Premiums for employer-sponsored health insurance rose 5% this year, to $12,680 a year for family coverage.

Employees were paying an average of $3,354 to cover their share of the costs, according to researchers at the Henry J. Kaiser Family Foundation, Menlo Park, Calif., and the Health Research & Educational Trust, Washington.

The researchers based the figures on results of a survey, conducted between January and May, that included 2,832 non-federal public and private firms with 3 or more employees.

The percentage of workers with deductibles of $1,000 or higher has increased to 18%, from 12% in 2007, the researchers report.

The percentage of workers in high-deductible plans has increased to 35% at employers with 3 to 199 workers, from 21% in 2007.

For workers facing deductibles in preferred provider organization plans, the average deductible rose to $560, up about $100 from the 2007 average.

The percentage of employees in plans that incorporate health savings accounts or health reimbursement arrangements has increased to 8%, from 5% in 2007.

PPOs cover 58% of group health plan participants; health maintenance organizations, 20%; point-of-service plans, 12%; and traditional indemnity plans, 2%.

At small firms, the percentage of health plan participants in health account plans has increased to 13%, from 8%.

At employers with 200 or more employees, the percentage of employees in health account plans is holding steady at 5%.

The average general annual deductible for single coverage is $2,010 for HSA plans and $1,552 for HRA plans, the researchers report.

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