Out-of-pocket healthcare costs for a person with employer-based coverage rose 30 percent from an average of $2,827 in 2001 to $3,744 in 2006 (including premiums), according to a report released yesterday by the U.S. Department of Health & Human Services. Hidden Costs of Health Care: Why Americans are Paying More but Getting Less documents the rising cost of deductibles, copayments and out-of-pocket expenses. Other report findings include the following:
- A person with employer-based coverage paid an average of $1,522 on health care (not including premiums) in 2006, compared with $1,260 in 2001.
- Employer-sponsored health insurance premiums have nearly doubled since 2000, a rate three times faster than wages. In 2008, the average premium for a family plan purchased through an employer was $12,680.
- For preferred provider organization plans purchased through an employer, the average family deductible increased 30 percent in just two years, from $1,034 to $1,344. This effect is more pronounced for small firms, where PPO deductibles increased from $1,439 to $2,367 — a rise of 64 percent.
- In 2004, one in five people with health insurance through an employer had a copayment of more than $25, but by 2008 the number jumped to one in three.
