Health Benefits In 2020: Premiums In Employer-Sponsored Plans Grow 4 Percent; Employers Consider Responses To...

Area of Science:

• Health Economics
• Public Health Policy

Background:

• The Kaiser Family Foundation Employer Health Benefits Survey is a key resource for understanding employer-sponsored health benefits in the U.S.
• The 2020 survey data collection occurred from January to July, predating the full impact of the coronavirus disease 2019 (COVID-19) pandemic on employers.

Purpose of the Study:

• To analyze the cost and coverage of employer-sponsored health benefits in the United States for 2020.
• To assess trends in premiums, cost-sharing, and benefit offerings.

Main Methods:

• The study utilized data from the 2020 Kaiser Family Foundation Employer Health Benefits Survey.
• Data collection involved interviews conducted between mid-January and July 2020.

Main Results:

• Average annual premiums rose by 4% to $7,470 for single coverage and $21,342 for family coverage.
• Workers contributed 17% for single and 27% for family coverage.
• 56% of firms offered health benefits, with 64% of workers covered by their employer. Many large employers reported broad provider networks, though mental health networks were often narrower.

Conclusions:

• Employer health benefit costs, including premiums and cost-sharing, were largely determined by pre-pandemic decisions.
• The findings provide a crucial baseline for understanding the impact of the COVID-19 pandemic on employer-sponsored health insurance.