Kansas City, Kan.— It’s no surprise that with a looming nursing shortage, obesity at epidemic levels and baby boomers entering their golden years that there isn’t any foreseeable end in sight to the rising cost of healthcare. In fact, the 2012 Compensation Data Banking & Finance survey results reported the average annual cost of insurance per employee on a banking and finance employer sponsored PPO plan is $7,887. That’s up from $6,231 reported in 2009, an increase of 26.6 percent in three years.
The results found 89.9 percent of banking and finance employer sponsored PPO plans include a deductible or co-insurance requirement for services. The average deductible on an employee only PPO plan is $811, compared to $1,966 for an employee plus family plan. The average in-network out-of-pocket maximum on an employee plus family PPO plan is $5,335.
“Although PPO plans are still the most commonly offered medical plans among banking and finance employers, HDHP plans are beginning to make headway as employers attempt to contain rapidly increasing medical costs,” said Amy Kaminski, vice president for Compdata Surveys. “The high deductible requirement translates to lower overall premium costs, making them more affordable for employers to offer.”
The use of consumer driven health plans (CDHPs) is on the rise as well. CDHPs typically pair an HDHP medical plan with a spending account, which can be used by the covered employee for their medical expenses. Health Savings Accounts (HSA) with an HDHP is the most common of these plans, as they are used by 37.6 percent of survey respondents. HSA contributions are made either by the employer or the employee and any unused balance can be carried forward.
About the Survey
Compensation Data 2012 Banking & Finance provides a comprehensive summary of pay data, benefits information and pay practices with an effective date of February 1, 2012. More than 100 industry-specific job titles and 400 benchmark titles were surveyed ranging from entry-level to top executives, with data collected from nearly 12,000 banking and finance organizations across the country.
Compdata Surveys has been providing comprehensive data at affordable prices to organizations from coast to coast since 1988 and is the nation’s leading compensation and benefits survey data provider. Thousands of organizations provide data in each of our eight industry specific surveys each year, ensuring the reliability of our results. For more information about the compensation and benefits surveys, contact Michelle Willis at (800) 300-9570.