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Survey: Increasing Cost of Healthcare Forcing Shift to More Employee Choice

Survey: Increasing Cost of Healthcare Forcing Shift to More Employee Choice

Rising healthcare costs associated with employee benefits programs are putting the onus on employees to make choices about and contribute costs to their plans, according to a new survey of

Rising healthcare costs associated with employee benefits programs are putting the onus on employees to make choices about and contribute costs to their plans, according to a new survey of financial executives.

The survey, conducted by CFO Research services and Prudential Financial, Inc., was conducted between December 2011 and January 2012 and included responses from 186 senior finance executives. Overall, the report found that more employers are expecting to implement "employee choice" benefits models over the next few years.

"Just as employees have had to take on more responsibility for their retirement security, they will be taking on more responsibility for other benefits as well," James Gemus, senior vice president of Life/AD&D Products, Non-Qualified Benefits and Voluntary Benefits, said in a release. "With these choices, employees will have more control over their benefits, to meet their personal needs."

According to a report from the Employee Benefit Research Institute, higher health insurance costs are forcing many workers to opt out of health coverage. In fact, between December 1995 and July 2011, 70 to 90 percent of uninsured workers said the main reason they did not have coverage was due to cost, the report found.