Colorado health insurance costs above national average

DENVER – Colorado employers are paying significantly more for health
insurance than employers in other states, according to a report released
Thursday.

A survey of 700 state employers by the Lockton Benefit Group concluded –
for the 10th consecutive year – that the average company received a
double-digit increase for its health plan, with an average increase of
14.4 percent over the prior year.

The report said it was the greatest percentage increase in five years
and “is significantly higher than reported nationally.” To offset the
increases, the report said more than 73 percent of employers surveyed
said they planned to pass some portion of the rate increase along to
their employees through plan design changes and premium share increases.

The survey also revealed that 72 percent of the surveyed employers said
their senior management was not familiar with the details of new federal
health-care reform legislation.

“This survey is significant in that it demonstrates that the rate of
increase in the cost of coverage in Colorado greatly exceeds the
national average for 2011,´ said Bill Lindsay, president of Lockton
Benefit Group in Denver. “This makes it harder for Colorado employers to
compete. Moreover, the resulting plan changes place Colorado workers at
a greater disadvantage in terms of higher deductibles, out-of-pocket
expense, and more significant premium cost-sharing than their
counterparts nationally.” 

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