Faced with the uncertainties surrounding healthcare reform, employers are seeking to control healthcare costs by giving workers more financial responsibility and reducing benefits, according to the 2014 Aflac WorkForces Report.
The report includes responses from 5,209 employees and 1,856 business decision-makers. Of the employers surveyed, only 9 percent feel extremely or very prepared to address changes in the healthcare system this year. Controlling costs is a top objective for 49 percent of companies. In 2013, 28 percent of businesses reported increasing employees' health insurance copayments, another 28 percent increased employees' share of premiums, according to the report. Furthermore, 22 percent eliminated or reduced employee benefits, while 9 percent eliminated contributions for family coverage.
The report found 86 percent of employees surveyed expect the healthcare expenses they're responsible for to continue increasing. However, many aren't prepared to deal with rising costs. For instance, 49 percent reported having less than $1,000 to spend on out-of-pocket expenses associated with a serious illness or accident, and 53 percent said they would have to borrow from their 401(k)s and/or use a credit card to deal with an unexpected injury or serious illness.
Furthermore, while 60 percent of companies think employees need to educate themselves about their healthcare benefits, 68 percent of workers believe their employers will educate them. Seventy-three percent of employees say healthcare reform is too complicated to understand, and 71 percent think their personal health insurance situation will become more confusing.
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