This guide provides four strategies (plus pros and cons of each) to help your organization contain healthcare spending.
Healthcare utilization decreased in 2020 during the COVID-19 pandemic, yet healthcare remains the most expensive employee benefit for employers, and costs continue to rise for many. In fact, a 2021 survey from the Business Group on Health (BGH) projects an increase of anywhere between 5.3% and 6.1% in employer spend this year. That coverage comes at a cost of 8.2% of total compensation, according to the U.S. Bureau of Labor Statistics.
Employers can use a variety of tactics to drive savings for their healthcare plans while still offering a competitive benefits package to employees.