PwC's 2016 Health & Well-being Touchstone survey is an industry leader in the study of what US-based employers are doing, and thinking of doing with their benefit programs, strategy and administration.
Subjects covered include medical, prescription drug, dental plan design, costs, wellness and disease management programs, work-life programs, fringe benefits, retirement benefits, future healthcare strategies and healthcare reform.
We look beyond the steady increase in medical plan costs, to the continued shift to high deductible plans. With ACA in the rear view mirror, the Cadillac tax is dead ahead.
Key findings and questions:
Despite the high cost of prescription drugs, cost sharing hasn’t increased.
Public exchanges should reduce COBRA liabilities, but are employers encouraging the use of public exchanges?
What’s the #1 area of investment and strategy? Wellness. So what's on the horizon?
Medical plan costs before plan changes increased 6.1% but less than the expected 7.6%.
Employers are continuing to rely on traditional methods for mitigating increasing costs through plan design changes and increasing contributions, and they aren’t making transformational changes.
Medical costs continue to increase more quickly than inflation, but 2015 increases were lower than anticipated.
1 out of 4 companies have already adopted full replacement on High Deductible Health Plans (HDHPs). Preferred Provider Organization (PPO) plans remain popular, but have steadily declined in favor of the trend to move to HDHPs.
72% of all participants offer a HDHP.
69% of employers surveyed indicated that they will be financially impacted by the excise tax on high cost plans. 41% of employers surveyed expect to trigger the excise tax by 2020.
Wellness is the #1 area of investment and #1 strategy for employers. 76% of employers offer wellness programs and they’ve expanded them into well-being.