Employers Hit by Higher Health Care Insurance Premiums

[bestsynd]

Health insurance premiums have sky-rocketed over the last five years, according to research done by the Kaiser Family Foundation (KFF). The only good news is that it has only jumped 9.2 percent this year as compared to 13.9 percent two years ago. The rate of increase is lower this year but it is still outstripping both the cost of living (CPI) and wage increases.


Premiums have soared 73 percent since 2000 putting a financial burden on employers and those buying insurance on their own. The average worker is paying $51 per month for single coverage which equates to 16 percent of their premium. The average family benefits cost the employee $266 per month at 26 percent of the premium. This has increased from $27 and $129 respectively since 1999

Employers Hit by Higher Health Care Insurance Premiums for 2005

[bestsynd]

One of my wifes articles:

A History of the Insurance Industry and the HMO Plan
August 10th, 2005

After calling our new doctor to make an appointment for our child, one of the first questions asked was "do you have insurance"? I have to wonder what maze of billing the doctor’s office must go through to get paid.

Last year the Grocery Store clerks went on strike for 139 days in Southern California for "lost medical insurance benefits" due to rises in health insurance costs. It is not an uncommon trend to pass more financial responsibility to the employee.

How did we end up with an ever increasing cost for health insurance? How did the insurance company become what it is today? It is an interesting history.

The Health Insurance Industry was given power by government laws and now they have become so powerful that they not only have a strong presence in creating new laws, they also are making doctors and hospitals comply with their standards. The Health Maintenance Organization (HMO) was designed by the government to eliminate individual health insurance.

....Insurance companies have come out of the slump and are more profitable than ever. In 2004, Healthnet had a net income of 42.6 million; the year before in 2003 they had a net income $234 million dollars. So these companies are profiting at providing insurance. Is health insurance best left to a for profit business?

Insurance premiums have increased dramatically over the past few years. In 2004 the average increase to premiums 11.2%, the previous year was 13.9%. Compare this against current inflation rate of 3.51 % and it is blatant the excessiveness of charges by the insurance providers.

History of the HMO

Nixon approves HMO act 1973

[GOODave]