Employers Opt for High Deductable Insurance : Employee Assunes Some Risk

This makes a lot of sense - why shouldn't the employee assume some of the risks of daily life? If the risks are assumed by the individual they will take more care of themselves if no other reason other then to save money on the deductibles.

It works. I have been doing this for years. It's called taking responsibility for your own actions. Who knew?

More Employers Embrace High-Deductible Health Plans to Pare Costs
Source: "More Employers Embrace High-Deductible Health Plans to Pare Costs," Los Angeles Times, November 14, 2012

November 27, 2012
Consumer-directed health plans are gaining popularity as many employers are beginning to offer them in an effort to reduce health care costs, says the Los Angeles Times.

•Employers prefer consumer-directed health plans because they are about 20 percent cheaper than preferred-provider organization (PPO) plans.
•The cost of a high-deductible medical plan with a health savings account is $7,833 annually per employee compared to $10,007 for a PPO plan.
•Thirty-six percent of large employers offer consumer-directed, high-deductible health plans, compared to only 14 percent five years ago.
•Enrollment in those plans has risen to 16 percent of all covered employees, compared to only 5 percent in 2007.

Under new federal rules, the minimum deductible for these plans with a health savings account is $2,500. Because of the shift, health benefit costs per employee have only risen by 4.1 percent, the smallest increase since 1997. Employers nationwide expect a 5 percent increase in health benefit costs next year.

Some experts contend that the lower costs are a result of employers shifting more of the costs on to workers and the patients postponing care and out-of-pocket medical expenses.