People are deferring many routine medical treatments during the coronavirus pandemic, creating unexpected savings for some employers, while making it harder for companies to forecast health-benefit costs in the year ahead.
As U.S. companies prepare to open their enrollment periods for health-care plans, many are uncertain about how much medical care their employees will consume in the year ahead. Health benefits typically account for a large portion of a company’s personnel costs.
Health-benefits costs for global companies that are insured—meaning they purchase a policy to cover their employees’ health-care claims—are expected to rise by 8.1% in the 2021 calendar year over this year, as people rebook medical appointments they postponed, according to a report published earlier this week by advisory firm Willis
By comparison, health-care costs are expected to rise 5.9% this year from a year earlier, the report said. The projections are based on responses from