Sun Sentinel By Sally C. Pipes
Americans rank health costs as their top financial concern, according to Gallup.
That's not likely to change anytime soon. Health insurers are requesting massive premium hikes for next year -- some in excess of 50 percent.
This shouldn't come as a surprise. The Affordable Care Act has been driving up costs since its creation. And thanks to a new wave of mergers among health insurers prompted by Obamacare, America's health cost crisis will only grow worse.
Premiums are skyrocketing nationwide.
Regulators in Oregon just green-lit a 25 percent increase for Moda Health Plan. A popular Utah insurance plan is seeking a 45 percent increase. Blue Cross Blue Shield is requesting price hikes ranging from 23 percent in Illinois to 54 percent in Minnesota.
Nationwide, premiums for the most common plans will increase by an average of 14 percent next year.
Even in states where premium growth is slowing, people are stretching their budgets to pay for insurance. On California's exchange, rates are slated to increase just 4 percent next year.
But the state's premiums have long been among the highest in the nation. Folks in northern California will pay $384 a month, on average. That's $70 higher than the average premium for a mid-level plan nationwide.
It's no wonder that four in 10 Californians shopping on the exchange say that they struggle to pay their premiums.
Obamacare has caused premiums to spike before, especially for younger folks. Since the law went into effect in 2013, premiums for 23-year-old women have risen an average of 45 percent, while men of the same age experienced 78 percent increases. Premiums for 30-year-olds surged 35 percent for women -- and 73 percent for men.
Click here to read full article.
Wednesday, August 19, 2015
Tuesday, July 28, 2015
The 5 employee benefits trends you need to know
The landscape is abuzz with reports on the importance of benefits in attracting and retaining employees.
To help bosses recognise the most popular benefit packages in the market in the past five years, Human Resources picked out five interesting trends in employee benefits based on the 2015 SHRM Employee Benefits Survey.
Firstly, the report showed that the percentage of organisations that offer health care and wellness benefits has increased.
Some of these benefits included mental health care coverage (91%), contraception coverage (83%) and vision insurance (87%).
The increased cost of health care in recent years has also led in a shift in health care costs to employees with an 8% increase in the use of health savings accounts (HSAs) (43%) and a 10% increase in employer contributions to HSAs (30%) over the past five years.
Secondly, companies have been offering preventive health and wellness benefits – one of the strategies to bring down the cost of health care benefits.
Some perks under this category include wellness resources and information (80%), general wellness programmes (70%), health and lifestyle coaching (46%) and preventive programmes specifically targeting employees with chronic health conditions.
Thirdly, there has been an increase in monetary related benefits such as financial and compensation benefits and retirement savings and planning benefits.
More organisations have been seen to offer spot bonuses/awards (34% in 2011 and 45% in 2015) as well as non-executive incentive bonus plans (43% in 2011 to 49% in 2015).
At the same time, more organisations are offering Roth 401(k) or similar defined contribution retirement savings plan (31% in 2011 to 48% in 2015) and retirement-preparation specific planning advice (37% in 2011 to 48% in 2015).
Fourthly, there has been an increase in several leave benefits since 2011 such as paid sick leave plans (37% to 42%), paid family leave (25% to 27%) and paid maternity leave (16% to 21%).
Despite this however, fewer organisations are offering paid vacation leave donation programmes (15% to 8%) and a paid vacation cash-out option (16% to 8%).
Lastly, as compared to 2011, there has been a decline in the provision of certain family-friendly benefits such as bringing children into work in emergencies (33% to 22%), child care referral services (17% to 9%) and on-site parenting seminars (4% to 1%).
30/06/2015 Tue 12:50 in All markets by Jerene Ang
To help bosses recognise the most popular benefit packages in the market in the past five years, Human Resources picked out five interesting trends in employee benefits based on the 2015 SHRM Employee Benefits Survey.
Firstly, the report showed that the percentage of organisations that offer health care and wellness benefits has increased.
Some of these benefits included mental health care coverage (91%), contraception coverage (83%) and vision insurance (87%).
The increased cost of health care in recent years has also led in a shift in health care costs to employees with an 8% increase in the use of health savings accounts (HSAs) (43%) and a 10% increase in employer contributions to HSAs (30%) over the past five years.
Secondly, companies have been offering preventive health and wellness benefits – one of the strategies to bring down the cost of health care benefits.
Some perks under this category include wellness resources and information (80%), general wellness programmes (70%), health and lifestyle coaching (46%) and preventive programmes specifically targeting employees with chronic health conditions.
Thirdly, there has been an increase in monetary related benefits such as financial and compensation benefits and retirement savings and planning benefits.
More organisations have been seen to offer spot bonuses/awards (34% in 2011 and 45% in 2015) as well as non-executive incentive bonus plans (43% in 2011 to 49% in 2015).
At the same time, more organisations are offering Roth 401(k) or similar defined contribution retirement savings plan (31% in 2011 to 48% in 2015) and retirement-preparation specific planning advice (37% in 2011 to 48% in 2015).
Fourthly, there has been an increase in several leave benefits since 2011 such as paid sick leave plans (37% to 42%), paid family leave (25% to 27%) and paid maternity leave (16% to 21%).
Despite this however, fewer organisations are offering paid vacation leave donation programmes (15% to 8%) and a paid vacation cash-out option (16% to 8%).
Lastly, as compared to 2011, there has been a decline in the provision of certain family-friendly benefits such as bringing children into work in emergencies (33% to 22%), child care referral services (17% to 9%) and on-site parenting seminars (4% to 1%).
30/06/2015 Tue 12:50 in All markets by Jerene Ang
Tuesday, July 7, 2015
Obamacare Sticker Shock Arrives: Insurance Premiums To Soar 20-40%
Two months ago, we outlined why the CPI-boosting Affordable Care Act is on the verge of bankrupting that all important driver of the US economic growth engine — the American consumer.
Put simply, inflation in medical care services costs hadn’t yet reared its ugly head because many insurers were as yet unable to gauge the full base-effect impact of Obamacare on their P&L. That, we said, was about to change: “After finally digesting the true cost of Obamacare, any recent insurance prime hikes will seem like a walk in the park compared to what is coming.
Sure enough, insurers have now taken a close look at exactly how much socialized medicine is costing them.
Not surprisingly, the picture isn’t pretty.
In some cases, forecasters grossly underestimated the number of claims they would likely receive, and indeed, even a PhD economist can tell you that when the amount going out for claims is greater than the amount coming in via premiums, there’s a problem with the model and because staunching the outflow is effectively now forbidden, something has to give on the receivables side of the equation which means dramatically higher premiums.
Submitted by Tyler Durden of www.zerohedge.com
Put simply, inflation in medical care services costs hadn’t yet reared its ugly head because many insurers were as yet unable to gauge the full base-effect impact of Obamacare on their P&L. That, we said, was about to change: “After finally digesting the true cost of Obamacare, any recent insurance prime hikes will seem like a walk in the park compared to what is coming.
Sure enough, insurers have now taken a close look at exactly how much socialized medicine is costing them.
Not surprisingly, the picture isn’t pretty.
In some cases, forecasters grossly underestimated the number of claims they would likely receive, and indeed, even a PhD economist can tell you that when the amount going out for claims is greater than the amount coming in via premiums, there’s a problem with the model and because staunching the outflow is effectively now forbidden, something has to give on the receivables side of the equation which means dramatically higher premiums.
Submitted by Tyler Durden of www.zerohedge.com
Wednesday, July 1, 2015
Supreme Court saves Obamacare
Washington (CNN)Obamacare has survived -- again.
In a 6-3 decision, the Supreme Court saved the controversial health care law that will define President Barack Obama's administration for generations to come.
The ruling holds that the Affordable Care Act authorized federal tax credits for eligible Americans living not only in states with their own exchanges but also in the 34 states with federal marketplaces. It staved off a major political showdown and a mad scramble in states that would have needed to act to prevent millions from losing health care coverage.
"Five years ago, after nearly a century of talk, decades of trying, a year of bipartisan debate, we finally declared that in America, health care is not a privilege for a few but a right for all," Obama said from the White House. "The Affordable Care Act is here to stay"
In a moment of high drama, Chief Justice John Roberts sent a bolt of tension through the Court when he soberly announced that he would issue the majority opinion in the case. About two-thirds of the way through his reading, it became clear that he again would be responsible for rescuing Obamacare.
"Congress passed the Affordable Care Act to improve health insurance markets, not to destroy them," Roberts wrote in the majority opinion. "If at all possible, we must interpret the Act in a way that is consistent with the former, and avoids the latter."
The ruling holds that the Affordable Care Act authorized federal tax credits for eligible Americans living not only in states with their own exchanges but also in the 34 states with federal marketplaces. It staved off a major political showdown and a mad scramble in states that would have needed to act to prevent millions from losing health care coverage.
"Five years ago, after nearly a century of talk, decades of trying, a year of bipartisan debate, we finally declared that in America, health care is not a privilege for a few but a right for all," Obama said from the White House. "The Affordable Care Act is here to stay"
In a moment of high drama, Chief Justice John Roberts sent a bolt of tension through the Court when he soberly announced that he would issue the majority opinion in the case. About two-thirds of the way through his reading, it became clear that he again would be responsible for rescuing Obamacare.
"Congress passed the Affordable Care Act to improve health insurance markets, not to destroy them," Roberts wrote in the majority opinion. "If at all possible, we must interpret the Act in a way that is consistent with the former, and avoids the latter."
Monday, June 22, 2015
Washington whipped into frenzy ahead of ObamaCare ruling
The wait is almost over for what could be the last big legal threat to ObamaCare.
Court watchers are working themselves into a frenzy awaiting a decision on King v. Burwell, one of the most anticipated cases of the year.
On opinion days, dozens of reporters are packing into the court or swarming the steps outside, while nearly 10,000 people tune into SCOTUSblog for live updates. False reports attempting to predict the timing of the decision have only further fueled the hype.
Across Capitol Hill, Republicans in the House and Senate briefed their members for the first time on Wednesday, trying to calm fears about what could happen to the 6.4 million people whose health insurance subsidies are at stake in the case.
Some of K Street’s biggest lobby firms are drafting “predecision” memos and briefing clients, even those outside of the healthcare realm about how they could be hit by a ruling.
Democrats are also getting nervous.
On the same afternoon as the Republican meetings, Health and Human Services Secretary Sylvia Mathews Burwell privately met with members of the New Democrat Coalition on Wednesday to talk about the case.
"In my state of Georgia, 500,000 people would lose their insurance — 8 or 9 million people across the country. And all [states] have to do is put the exchanges in place,” Rep. David Scott (D-Ga.) said as he left the closed-door meeting.
A spokeswoman for the coalition’s chairman, Rep. Ron Kind (D-Wis.), said she couldn’t discuss details, but confirmed the administration’s response to the case was the “main topic of discussion.”
The growing anticipation surrounding King v. Burwell exploded shortly after midnight Wednesday, when news first broke that GOP leaders would begin briefing rank-and-file members about the case.
The meetings took place in separate corners of the Capitol a few hours apart, and both drew unusually large scrums of reporters.
Facing a barrage of questions after the Senate’s lunch-time discussion, Sen. John Barrasso (R-Wyo.) allowed a half-dozen reporters to cram into his elevator, where Sen. Ted Cruz (R-Texas) had already stepped inside.
“Easy, easy,” Cruz said as he was backed into the corner.
“This is an unusual situation isn’t it? We have a presidential candidate in here!” Barrasso exclaimed. He then allowed the gaggle to follow him onto the subway beneath the Capitol Dome and back to his Dirksen Building office, with more questions along the way.
Republicans have spent four months quietly crafting contingency plans for King v. Burwell. While the case drew some attention during oral arguments in March, the hype is approaching new heights with just a few days left of court decisions this summer.
This week’s meetings marked the first time that most members heard details about those plans.
Click here to read full article: By Sarah Ferris - 06/21/15 05:00 PM EDT
Wednesday, April 15, 2015
Fortune Business Solutions reaches close to 500 Million Annually in 2014
Our Mission:
The Fortune Business Solutions team is dedicated to providing your company with innovative, hands-on Human Resource Management and comprehensive and cost-effective employee services and benefits that allow you to attract and retain high quality personnel. The result is a better working environment for your employees and, therefore, increased efficiency and profitability for your company.
Established: October 1997
Number of Employees: 18,000+
Revenues: $488,489,781 Million Annually (2014)
Thursday, April 2, 2015
How Will ObamaCare Affect Your Small Business?
March 24, 2015
While the majority of employers and employees won’t pay any additional taxes under the ACA, there is an increase to the current Medicare part A tax for businesses and employees making over $200,000. There is also a requirement for employers with 50 full-time equivalent employees or more to offer health insurance to full-time workers or pay a penalty starting in 2015 / 2016.
FACT: 90% of US firms have less than 20 full-time employees and about 96% of firms have fewer than 50 full-time employees. More than 96 percent of firms with 50 or more employees already offer health insurance to their workers. Less than 0.2 percent of all firms (about 10,000 out of 6 million) face employer responsibility requirements.
ObamaCare helps most small businesses. The fact is, small business owners have historically had a much harder time providing themselves and their employees with insurance due to rising health insurance costs; meanwhile bigger businesses have remained largely unaffected due to the leverage buying large group health plans gives them. This problem has only gotten more severe in the past decade.
A report by the common wealth fund in 2006 showed the nation’s smallest firms pay an average of 18 percent more in health insurance premiums for the same benefits than those in the largest firms, while costs of providing health insurance to small business employees had been rising higher than inflation rates prior to the Affordable Care Act.
March 24, 2015
While the majority of employers and employees won’t pay any additional taxes under the ACA, there is an increase to the current Medicare part A tax for businesses and employees making over $200,000. There is also a requirement for employers with 50 full-time equivalent employees or more to offer health insurance to full-time workers or pay a penalty starting in 2015 / 2016.
FACT: 90% of US firms have less than 20 full-time employees and about 96% of firms have fewer than 50 full-time employees. More than 96 percent of firms with 50 or more employees already offer health insurance to their workers. Less than 0.2 percent of all firms (about 10,000 out of 6 million) face employer responsibility requirements.
ObamaCare helps most small businesses. The fact is, small business owners have historically had a much harder time providing themselves and their employees with insurance due to rising health insurance costs; meanwhile bigger businesses have remained largely unaffected due to the leverage buying large group health plans gives them. This problem has only gotten more severe in the past decade.
A report by the common wealth fund in 2006 showed the nation’s smallest firms pay an average of 18 percent more in health insurance premiums for the same benefits than those in the largest firms, while costs of providing health insurance to small business employees had been rising higher than inflation rates prior to the Affordable Care Act.
Subscribe to:
Posts (Atom)