Employer Healthcare Burden Predicted to Increase 6.5% Next Year

The COVID-19 pandemic is expected to lead to increased healthcare costs for employers—approximately 6.5% in 2022. A new report examines the effects of inflators, which increase medical costs, and deflators, trends that decrease these costs. Many Americans delayed routine medical care and engaged in poor lifestyle habits during the pandemic, which have in part led to increased costs.

“As the biggest inflator, the pandemic “hangover” is expected to increase utilization and healthcare spending in 2022, thanks in part to the return of some of the care that had been deferred during the public health emergency, as well as the ongoing costs of treating the coronavirus, increased mental health and substance use issues, and worsening population health.” Read more here.

(Source: Jeff Lagasse, Healthcare Finance, 6/9/21)