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Health premiums still rise, but more slowly

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in Human Resources

Premiums are still increasing for HMOs and PPOs, but those increases are slowing down, says a new survey by health care consultant Milliman.

In 2006, premiums rose 6 percent from the previous year for HMOs, the smallest change since 1997, while PPO premiums increased a modest 4 percent.

The survey noted that employees are lowering annual premiums by increasing deductibles, signing onto consumer-directed health plans and using a health care reimbursement account or health savings account to cover the higher deductible if medical expenses occur. 

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