The
2014 Iowa Employer Benefits Study found that health premiums increased
an average of 6.8 percent from 2013 to 2014, Lind said in a release. By comparison, the average increase a year ago in the study was 9 percent.
Fifty-eight
percent of the 1,002 Iowa companies that responded to the survey said
they passed some or all of the cost increases along to employees, while
26 percent said their company absorbed the entire cost increase. Fifteen
percent of employers said they raised out-of-pocket costs for their
workers, and 11 percent said they changed insurance companies.
The Iowa study reports a higher percentage premium increase than a national study, released
Wednesday by the Kaiser Family Foundation/Health Research &
Educational Trust, which found that health premiums nationally increased
an average of 3 percent to $16,834 for family coverage. However, in
Iowa, the average annual premium for all types of medical plans offered
by Iowa employers for family coverage - $14,981 in the Lind study - is
significantly lower than the national average.
In
Iowa, fewer than 1 percent of Iowa employers reported dropping health
insurance coverage this past year, Lind's survey found. That trend has
been consistent throughout the study's 16-year history, Lind said.
In
this year's study, 81 percent of employers reported offering health
coverage, an increase from 77 percent the prior year. Lind said the most
apparent reason for the increase is that employers with fewer than 20
workers reported a higher offering of health insurance.
"Despite
the challenging cost issues along with the continued uncertainty of the
Affordable Care Act, Iowa employers appear resolute about continuing to
offer health insurance coverage to their workforce for the foreseeable
future," Lind said.
Preliminary results of a separate national study
released today by Mercer LLC forecasts that per-employee health
benefits costs will rise by 3.9 percent on average in 2015. Cost growth
slowed to 2.1 percent in 2013, a 15-year low, but appears to be edging
back up, Mercer said in a release.
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