Employees can see better health care benefits as employers become more selective

Rising health care costs are around the corner in the new year, and the Business Group on Health is helping employers understand it.

The non-profit organization found in a recent survey that large employers expect that the cost of treating patients will jump by about 8% next year before they make changes to deal with them. That’s the highest growth rate in a decade.

Business Group on Health CEO Ellen Kelsay expects employers to respond by being more selective about the care people receive. They will also try to manage the use of expensive drugs for obesity and diabetes.

Kelsay’s nonprofit advises employers on health care costs and policy issues. The CEO recently spoke to the Associated Press.

Q: Major employers expect a jump in health care costs next year. How will they deal with it?

A: They will focus on the quality of services provided to their employees. You may hear about high-performance networks or high-performance centers. Those are efforts where employers seek out high-quality providers and try to encourage their employees to seek services through those providers.

Q: Does this mean that employees may see fewer options for care?

A: They will see a lot of select, tailored networks that have a few providers on them. But they will be high quality.

Q: Your annual survey also found that access to better mental health care is top of mind for large employers. Why do they care about this?

A: It’s basic. A person dealing with a problem at work or outside of work will not be engaged, productive or healthy.

Q: How will employers handle expensive and popular weight loss drugs like Wegovy?

A: Most view them as a tool in their overall weight management plan. . . it is not only a tool. (They) will focus more on who the right people are to get these drugs. Does the provider recommend this? Does the person have any co-morbidities? Does the person have a (body mass index) that meets a certain threshold? And so does one participate in a lifestyle and behavior modification program to ensure long-term success?

Q: Eight out of ten leaders of your companies are women. How does that shape vision or direction?

A: I think we are very cooperative. We focus on the inclusion of constructive, constructive dialogue that encourages diverse perspectives.

Q: You’ve studied employee benefits trends for more than 20 years. What surprised you the most?

A: This is a continuous increase in the cost of primary health care. It’s something we’ve been talking about for decades. There is certainly a lot of good work being done, but it is not enough.

The Associated Press Department of Health and Science is supported by the Howard Hughes Medical Institute’s Science and Educational Media Group. AP is solely responsible for all content.

-Tom Murphy, Associated Press health writer