money 7881948 640

Rising Costs Have Employers Taking Closer Look at Healthcare Spending

30 Nov, 2023 F.J. Thomas

money 7881948 640
                               

Sarasota, FL (WorkersCompensation.com) – Several reports have indicated that healthcare costs for employers are projected to increase significantly this coming year. As a result of that increase, employers may be taking a closer look at their existing contracts and partnerships, according to a recent report on employer trends from The Business Group on Health.

Burnout has been a big issue in the workplace, especially when it comes to healthcare workers. Around 70 percent of employers have indicated that they will be making a concerted effort to address mental health in the coming year. One way that employers are expected to accomplish making mental a health a top priority includes an increase in virtual services. Around a third of employers plan on offering on-site mental health services at a reduced cost. The report predicts that employers will hold their vendors more accountable for access, with expectations that there be more collaboration among venders to create a more seamless and integrated approach in treating mental health. Additionally, the report anticipates an increased focus on youth mental health, as well as suicide prevention. 

Another area that employers have indicated a strong focus on is cancer and chronic conditions. Around 41 percent of employers have indicated that they expect to see a higher rate of late-stage cancer due to delayed screenings. Around 41 percent of employers also expect to see a higher level of chronic condition management needs. 

Some reports have indicated a 10 percent increase in the number of cancer cases last year. According to statistics from the CDC, 6 in 10 adults have a chronic disease, and 4 in 10 adults have two or more chronic diseases. 

Findings from a study published in JAMA Network earlier this year found that patients who were treated through safety-net clinics were accruing chronic diseases at high rates. This suggests that there is a definite need for an earlier and stronger disease prevention management. 

As a result of these predicted higher rates of cancer and more severe chronic condition numbers, employers are expected to shift to a “back to basics” focus that emphasizes both prevention and primary care. With the developments in genetic testing, as well as cell/gene therapy, employers will most likely take a hard look at these alternatives to ensure that employees receive a more personalized and effective course of care. 

Drug pricing is another area that employers have indicated they will be focusing on as practically 100 percent of employers polled stated they were concerned about the trends seen in prescription drug pricing. As such, employers are expecting more pricing transparency and some are reviewing options such as rebate-free pharmacy management arrangements.


  • arizona california case management case management focus claims cms compensability compliance conferences courts covid do you know the rule exclusive remedy exclusivity florida FMLA glossary check health care Healthcare how the court ruled iowa leadership medical medicare NCCI new jersey new york ohio opioids osha pennsylvania Safety state info tennessee texas violence virginia WDYT west virginia what do you think workers' comp 101 workers' recovery workers' compensation contact information Workplace Safety Workplace Violence


  • Read Also

    About The Author

    • F.J. Thomas

      F.J. Thomas has worked in healthcare business for more than fifteen years in Tennessee. Her experience as a contract appeals analyst has given her an intimate grasp of the inner workings of both the provider and insurance world. Knowing first hand that the industry is constantly changing, she strives to find resources and information you can use.

    Read More

    Request a Demo

    To request a free demo of one of our products, please fill in this form. Our sales team will get back to you shortly.