Workplace Health Services Blog

Healthcare costs are expected to rise at a rate approximately twice that of inflation – putting the increase at 9 or 10 percent for 2010. The dramatic increase is the result of a “perfect storm” of market conditions.

For one thing, the population is aging. According to US Census Bureau, the elderly population increased nine-fold from 1990 to 1994, but the number of people under age 65 was up only three-fold. The growth rate is expected to increase dramatically from 2010 to 2030 as the “Baby Boomers” reach age 65 – with one in five US citizens being elderly by the year 2030. With an aging work force, there are more chronic illnesses which require more physician treatments. There is also the issue of increasing obesity across all populations.

Another factor driving the increase is the rising cost of medical care and prescription medicines. While new technologies are medically beneficial, the underlying technology is expensive, as are the research and clinical trials required for FDA approval.

One condition in particular seems tied to the current economy. With job markets uncertain across all industries, employees are increasing their use of health care while they still have a job – and insurance. This leads, indirectly, to increased utilization of emergency room and urgent care costs as well. With a spike in appointments, access to regular family physicians is affected. So if a patient can’t get in to see his/her regular doctor, or has a sick child and the doctor is already booked for the day, the option increasingly taken is a visit to the emergency room or urgent care center.

Some employers are taking the step to counteract high utilization by installing on-site work place health clinics through organizations like Workplace Health Services. Having a physician, nurse, or nurse practitioner on site to treat employees and their dependents can help with overall health care expenses by providing easy access and lower cost primary care.

Workplace Health Services can help large companies reduce employer health costs and help employees reduce the likelihood of serious illnesses. If you would like more information, you can call us at (866) 612-2848 or , and we’ll be in touch.

Related posts

• Why are Employer Health Care Costs So High? (0)
• Most Employees Underestimate Employer Health Costs (0)
• Healthcare costs to increase by 9% for employers in 2010 (0)