NU Online News Service, Oct. 1, 2003, 5:12 p.m. EDT – Big employers expect to pay an average of 11% more for health coverage for active employees in 2004 than they are paying this year, according to Towers Perrin, New York.
A year ago, big employers told Towers Perrin that they expected rates to go up about 15% in 2003.
The projected rate of increase for retirees over age 65 has fallen to 13% for 2004, from 19% for 2003, and the projected rate of increase for dental coverage has fallen to 5%, from 7%.
Researchers at Towers Perrin, a human resources consulting firm, are basing the projections on the first 200 responses to the company’s 2004 health care cost survey. Most of the participating employers are multinational companies with thousands of employees.