Don't be surprised if you're shelling out more for health care on the job next year.
After several years of relatively moderate spending increases, health care costs are set to jump in 2014.
Employees will spend just under $5,000 on premiums and out-of-pocket expenses next year, according to new research by Aon Hewitt, an employee benefits administrator. That's up 9.5% from the year before.
This is because overall health care spending will increase next year at the fastest level since 2011, when several Obamacare provisions went into effect, including the requirement that employers cover children up to age 26 and insurers provide preventative care for free.
But now the main factor driving up spending is the improving economy. When conditions are better, people are more likely to go to the doctor, get tests done and undergo procedures, said Tim Nimmer, chief health care actuary at Aon Hewitt.
Though a major provision of Obamacare -- the individual exchanges -- launches in 2014, it won't have much of an impact on corporate plans. What is contributing some to the increase are new fees on employers and insurers to help cover insurers with new high-risk enrollees.
Still, employers are continuing to shift the cost of health insurance to employees, Nimmer said. They are raising premiums and deductibles, but are also implementing wellness programs at work to keep spending down.
Want to earn some cash? Create a video explaining why younger Americans need health insurance.
The Obama administration is doling out $30,000 in cash and more than 100 prizes in a video contest aimed at attracting young people to the Obamacare insurance exchanges. This demographic is considered key to the exchanges' success because the young are usually healthier than the general population. Their enrollment will help lower premiums for everyone.
The government MORETami Luhby - Sep 12, 2013 5:05 PM ET
Thinking of retiring early? Hope you have a lot socked away for medical expenses.
That's because health care costs can add up quickly when you aren't yet eligible for Medicare, which kicks in at age 65.
Someone who retires today at age 55 will spend an average of $119,600 over the next 10 years on insurance premiums and out-of-pocket expenses, said Dale Yamamoto, who authored a report on medical spending on behalf MORETami Luhby - May 16, 2013 11:05 AM ET
When Suzanne Eva Lain praised Obamacare in a recent CNNMoney article, she never thought it would earn her a ticket to the White House.
But after a member of the Obama administration read that she can't wait for Obamacare to start, officials invited her to attend an event at the White House on Friday at which the president expounded on how the Affordable Care Act has helped women and their families. MORETami Luhby - May 14, 2013 10:42 AM ET
Average health insurance premiums for employer-sponsored family coverage soared 62% between 2003 and 2011, far outpacing the rise in wages, a new study found.
By 2011, there were 35 states in which the annual premium equaled 20% or more of income, according to a study issued Wednesday by The Commonwealth Fund. This compares to just one state in 2003.
Premiums in the south and south-central United States were the highest relative to MORETami Luhby - Dec 12, 2012 12:16 PM ET
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