• LinkedIn
  • YouTube
  • Twitter
  • Facebook
  • Google+

What are the pitfalls of raising employee contributions to health insurance?

by on
in The HR Specialist Forum

Question: “We’re working with our insurance broker to figure out how we can continue to offer good benefits without raising our costs. She suggested increasing the amount employees contribute for health insurance. I’m sure we’ll face resistance, but it looks like that may be our only option. Who else has faced this dilemma? How much did you hike employee contributions? How did you sell it to employees? Are there other options to consider?”—Jim, SoCal


Comments

Every year our broker looks at competitive bids or we alter plan benefits to try to keep our premiums low. Five years ago we set up a percentage based plan so an employee only pays 20% of the premium and an employee with dependent or family coverage pays 25%. So if there is a premium increase the employee's contribution is adjusted accordingly.

To read the rest of this article you must first register with your email address.

Email Address:

Leave a Comment