Morning Briefing
Summaries of health policy coverage from major news organizations
Survey Explores Trends In Employer Health Benefits, Efforts To Control Health Costs
After years of passing on more and more health-care costs to employees, companies are slowing their adoption of high-deductible plans next year, according to a survey of more than 100 large U.S. employers. That relief could be temporary. Companies are waiting to see if lawmakers will repeal Obamacare鈥檚 鈥淐adillac tax鈥 on high-cost health coverage, which is a levy on individual health premiums greater than $10,200. A roll-back would keep employers from having to shift workers into plans where they bear more of the up-front costs of their insurance. (Tracer and Rubin, 8/12)
More than half of large employers in 2016 will aim to more tightly manage employees鈥 use of high-priced specialty drugs, one of the fastest-growing expenses in their health plans. Despite those efforts, companies still expect the cost of specialty drugs that are carefully administered to treat conditions such as cancer, HIV and hepatitis C to continue rising at a double-digit annual rate 鈥 well ahead of the pace for traditional pharmacy drugs or companies鈥 overall spending on health benefits, according to the National Business Group on Health. (Gillsepie, 8/12)
Though employers won鈥檛 have to pay the 鈥淐adillac tax鈥 on rich medical plans until 2018, they are mitigating potential financial hits from it by spending more on wellness and shifting workers to high deductible plans so employees think twice about using expensive care, a new analysis indicates. The Cadillac tax was created as part of the Affordable Care Act largely as a way to help fund subsidized benefits to the uninsured under the law. Starting in 2018, employers pay a 40% tax on costs of health plans that are above $10,200 per individual and $27,500 for family coverage. (Japsen, 8/12)
In related news -
President Obama's health-care reform hasn't meant less time on the job for American workers, according to three newly published studies that challenge one of the main arguments raised by critics of the Affordable Care Act. One provision of the law, which is widely known as Obamacare, requires businesses with more than 50 employees to offer health insurance to those working at least 30 hours a week. That mandate took effect this year. (Ehrenfreund, 8/12)
