Aon Projects Health Plan Cost Surge In 2003

NU Online News Service, June 25, 9 a.m. – Employers can expect to see continued double-digit rate increases for health care insurance, according to an survey of major health care providers released today by Aon Corp., Chicago.

Aon found that health maintenance organizations are expected to raise costs, on average, 16.2% for 2003 renewals, based on data provided by the nation’s largest medical, dental, pharmacy benefit manager and vision vendors. For HMOs with prescription drug plans, the increase is expected to average 16% and for plans without prescriptions, 14.6%.

Prescription POS plans are expected to average 16% increases, and non-prescription POS plans are projected to rise an average of 14.6%

PPO plans with prescriptions will also average 16% while non-prescription PPOs are projected to increase 14.5%.