How much of your insurance burden should employees shoulder?
November 28, 2008 by Jennifer AzaraPosted in: Benchmarking, Benefits, Communication tips, Healthcare, In this week's e-newsletter, Latest news & views, Management issues
Unless you’re in that ever-so-small minority of companies that foot the entire health insurance bill, you’ve struggled over where to set employee co-pays. Here’s help.
They’re a dying breed: companies that pay all health insurance costs. Almost no one can afford to do that anymore.
So exactly how much should you ask employees to pony up?
Compare your current premiums and co-pays with these recent benchmarks to ensure your organization’s staying competitive:
Is your company asking folks to shoulder less of the financial burden for health care than the average? That’s information worth sharing with the rest of your workforce.
With study after study suggesting benefits are becoming as important as salaries these days, even a little edge here can go a long way in terms of both recruiting and retention.
Tags: Current healthcare premiums, Employee co-pays, Employee Contribution, Healthcare bill, Recent benchmarks
December 1st, 2008 at 4:50 pm
Our company contributes 49% of the premium while the employee contributes 51%
December 2nd, 2008 at 10:51 am
We contribute 70% toward the premium, so we’re not contributing as much as average. We’re a relatively small employer, however, with just over 100 employees, and we’re doing the best we can. Our insurance rates are a bit higher than those reflected in the article’s graph ($18,090 for family; $5675 for employee only).
December 2nd, 2008 at 3:39 pm
We allow a fixed amount toward healthcare & related benefits. Each employee can choose from a menu of options to use up the amount and then pay any additional costs out of pocket. The amount more than covers a single but doesn’t quite cover the family rate. Additionally, the company pays employee dental, vision, and basic life. This seems more fair to me than paying different amounts for different employees based on whether they need only employee vs coverage for additional family members.