Annual Health Care Cost Survey

The 17th Annual Towers Perrin Health Care Cost Survey involved data collected from more than 200 large employers, who provide coverage to more than five million workers, retirees and dependents. According to the survey, health care costs for large U.S. employers in 2006 will increase by 8%, a smaller rate of increase than in recent years. Average premiums per employee in 2006 will increase by about $600, and employees will cover about $155 of that increase. The survey also found that employees will cover about 20% of the cost of health insurance premiums in 2006. In addition to efforts to shift more of the cost of health care to employees, employers plan to promote use of generic medications and implement health risk assessment and wellness programs to help reduce costs.

Information about the survey is available online at http://www.towersperrin.com/hrservices/global/default.htm