Feb 19, 2020
Businesses are offering more plans with a wider range of pricing to cope with steep premium increases, according to a study by Ease. West Coast businesses average over six health plan options, which is double the number of options in other regions. “The West Coast is leading this trend, which we expect to proliferate throughout the country in the coming years,” said Ease co-founder and CEO David Reid.
Most Popular Health Plans
More businesses are offering high deductible health plans (HDHPs), mostly to Millennials who seek a low-cost option. PPOs continue to be the most selected plan type across generations. The percentage of employees waiving coverage has remained steady at 34%, despite the repeal of the individual mandate.
Plans Types Elected by Employees in 2019
- 38% PP0
- 25% HMO
- 2.7% HDHP
Voluntary Benefits
There has been an increase in voluntary benefits. More people have life insurance through their employer than dental or vision coverage, with all three hovering around a 20% adoption rate. This is likely due to employer contributions; employees bear a heavier burden for vision and dental than other insurance types. “As unemployment remains low, employers continue to look for ways to remain attractive to current and prospective employees using benefits,” Reid said.
Most Popular Voluntary and Worksite Plans
- 23% Life
- 21% Vision
- 19% Dental
Contact your LISI Regional Sales Manager for strategies to lower the cost of employee benefits while boosting employee choice.
