Employees Pay 11% Of Income on Premiums & Deductibles

EMPLOYEES THINK EMPLOYERS PAY FOR HEALTH INSURANCE

Group health insurance average % of health care spend is 8-12% of payroll. If true, his article lends credence that employees pay all the cost of health care in the form of lower wages and less take home pay……………..

Employees Spend an Average 11% of Income on Premiums, Deductibles

Dec 13, 2019

by Jinghong Chen

Average annual growth in employees’ health insurance premium contributions and deductibles increased faster than U.S. median income between 2008 and 2018, according to a recent report from The Commonwealth Fund. On average, employees spent $1,427 on their share of single-plan premiums in 2018, ranging from $755 in Hawaii to $1,903 in Massachusetts. The combined cost of premiums and deductibles accounted for 10% or more of median income in 42 states in 2018, up from seven states in 2008.

NOTES: Employee premium contributions are for insurance policies offered by private-sector employers in the U.S. Single and family premium contributions and deductibles are weighted for the distribution of single-person and family households in the state.

SOURCE: Sara R. Collins, David C. Radley, and Jesse Baumgartner, “Trends in Employer Health Care Coverage, 2008–2018: Higher Costs for Workers and Their Families,” The Commonwealth Fund, Nov. 2019. Visit https://bit.ly/2sDu5gK.

Comments are closed.