Close Close
Popular Financial Topics Discover relevant content from across the suite of ALM legal publications From the Industry More content from ThinkAdvisor and select sponsors Investment Advisor Issue Gallery Read digital editions of Investment Advisor Magazine Tax Facts Get clear, current, and reliable answers to pressing tax questions
Luminaries Awards
ThinkAdvisor

Life Health > Health Insurance > Life Insurance Strategies

Account Plans Pull Ahead Of PPOs

X
Your article was successfully shared with the contacts you provided.

Health savings accounts and health reimbursement arrangements may be starting to have a small but noticeable effect on corporate health plan costs.

Costs for account-based group plans that include prescription drug coverage appear to be up 10.7% this spring, while costs for conventional preferred provider organization plans that include prescription drug coverage appear to be up 11.2%, according to researchers at the consulting arm of Aon Corp., Chicago.

The researchers base those figures on a survey of about 70 large benefits vendors.

The gap between account-based plan costs and conventional PPO plan costs is the widest Aon has detected in its spring cost surveys since it began including account-based plans in the surveys in 2004.

In the spring of 2006, Aon was reporting an average cost increase of 12.4% for conventional PPO plans and an average increase of 12.5% for account-based plans.


NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.