Health costs reach $ 15,000 per worker as employers turn to Amazon for help


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Employer health costs are around $ 15,000 per worker, while US companies are looking for "disruptive" like Amazon for help, a new survey of the largest employers in the country indicated.

The national group of companies on health said Tuesday& nbsp; costs per employee are expected to increase 5% to $ 14,800 in 2019 compared to $ 14,099 per employee this year. Employers generally cover about 70% of the total premium paid by the employer, which means that the employee share will be 30%, or nearly $ 4,500 next year, says the health strategy survey the 2019 Big Employers of the NBGH.

The steady rise in health care costs, twice as fast as general inflation, is an unprecedented record and frustrating employers to the point that they are increasingly looking for money. help outside the traditional health care sector. This leaves an opening for Amazon and the tech community.

"Seven out of ten employers believe that new players outside the health sector are needed to disrupt health care in a positive way," said NBGH President and CEO Brian Marcotte. Although the NBGH survey did not specify the name of Amazon, Marcotte said "Innovators from Silicon Valley and other regions, as well as employer coalitions, are at the helm. number of disrupters ".

Earlier this year, Amazon's Jeff Bezos, Warren Buffett's Berkshire Hathaway and JPMorgan Chase & amp; The company announced that it wanted to create an "independent company" to improve health care and reduce costs for more than one million employees. It's unclear what the three titans of the company can offer and how it will work for their employees, but the NBGH study found that other employers are increasingly considering a variety of things. Here are some examples:

Marcotte said employers will no longer be able to continue to "rely on traditional cost-sharing techniques to manage costs."

"A growing number of employers are playing an active role in the way care is provided and paid for," added Marcotte. "Increasing health care costs continue to outpace workers' incomes and inflation, making this trend unaffordable and unsustainable in the long run."

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Employer health costs are as high as $ 15,000 per worker, while US firms target "disrupters" like Amazon, according to a new survey by the country's largest employer.

The national group of companies on health said Tuesday costs per employee are expected to increase 5% to $ 14,800 in 2019 compared to $ 14,099 per employee this year. Employers generally cover about 70% of the total premium paid by the employer, which means that the employee share will be 30%, or nearly $ 4,500 next year, says the health strategy survey the 2019 Big Employers of the NBGH.

The steady rise in health care costs, twice as fast as general inflation, is an unprecedented record and frustrating employers to the point that they are increasingly looking for money. help outside the traditional health care sector. This leaves an opening for Amazon and the tech community.

"Seven out of ten employers believe that new players outside the health sector are needed to disrupt health care in a positive way," said NBGH President and CEO Brian Marcotte. Although the NBGH survey did not specify the name of Amazon, Marcotte said that "disrupters include innovators from Silicon Valley and elsewhere, as well as coalitions from # 39; employers. "

Earlier this year, Amazon's Jeff Bezos, Warren Buffett's Berkshire Hathaway and JPMorgan Chase & Company announced their desire to create an "independent company" to improve healthcare and reduce the costs borne by their more than one million people. employees. It's unclear what the three titans of the company can offer and how it will work for their employees, but the NBGH study found that other employers are increasingly considering a variety of things. Here are some examples:

Marcotte said employers will no longer be able to continue to "rely on traditional cost-sharing techniques to manage costs."

"A growing number of employers are playing an active role in the way care is provided and paid for," added Marcotte. "Increasing health care costs continue to outpace workers' incomes and inflation, making this trend unaffordable and unsustainable in the long run."