Study Shows That Cost of Job-Based Coverage Continues To Rise

The San Diego Union Tribune reports that employers are facing a 10%-12% increase in the cost of providing insurance coverage to employees in 2007. This estimate is based on a report from PricewaterhouseCoopers which predicts that employers will adjust employee benefit packages in order to minimize the cost increase.

According to the PricewaterhouseCoopers report, health care costs are primarily driven by increased utilization of diagnostic tests and treatments. Poor lifestyle habits also contribute to rising health costs.