Employer Health Premiums as Much as a New Car
Average annual family premiums for employer coverage eclipse $25,000 annually
by Bruce Japsen
ANNUAL FAMILY premiums for employer coverage rose 7% this year to more than $25,000—an annual cost shared between workers and the businesses they work for, according to KFF’s 2024 benchmark Employer Health Survey.
Of the total $25,572 cost on average, workers are contributing $6,296 to the cost they contribute from their paychecks for their share of the total employer-paid premium. The worker share doesn’t include what they will pay in out-of-pocket costs in the form of co-payments, deductibles and other costs which vary according to their use of healthcare services.
“Employers are shelling out the equivalent of buying an economy car for every worker every year to pay for family coverage,” KFF President and CEO Drew Altman said. “In the tight labor market in recent years, they have not been able to continue offloading costs onto workers who are already struggling with health care bills.”
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