Close Close

Life Health > Health Insurance > Health Insurance

Study: Employers Pay To Cover Other Employers Workers

Your article was successfully shared with the contacts you provided.

U.S. employers that provide health benefits spend about 20% of their benefits budgets on medical care for other employers’ employees.[@@]

Researchers affiliated with The Commonwealth Fund, New York, reach that conclusion in an article published in the spring edition of Inquiry, a health finance journal.

U.S. employers spend about $150 billion per year to provide health coverage, and about $31 billion of that amount goes to pay for care for adults who work for other employers, the researchers write.

Although the employers pay about 44% of that amount to provide coverage for their own employees’ adult dependents, the employers spend much of the rest to finance public health programs for the poor and to cover the cost of care for the uninsured, the researchers write.