Group Health Insurance
Employer-sponsored health insurance or group health insurance is segmented by number of employees - small groups with less than 50 employees and large groups with 50 or more employees. Large groups insure about four times more Californians than small groups. Group health insurance insures approximately 15 million Californians in total. (Click image to enlarge)
2011 saw an upturn in premium growth, as the average premiums for family coverage increased 9% between 2010 and 2011, significantly higher than the 3% increase between 2009 and 2010.
Total Group Coverage Trending Down
Total group coverage, large as well as small group, coverage has fallen somewhat during the recent recessions between 2002 and 2009. That trend is expected to continue at least through 2011 as unemployment in California remains in double digits. Meanwhile, the share of Californians with public coverage (MediCal and Healthy Families) or no coverage at all has risen. (Click image to enlarge)
High Deductible Plans (HDHP)
The percentage of employees in HDHPs continues to rise as employers seek more affordable coverage options and are potentially seeking to shift increased costs to workers. In 2011, 17% of covered workers were enrolled in an HDHPs, compared to 13% in 2010 and 8% in 2009.
ACA Begins to Affect Group Health Insurance
Changes from the Affordable Care Act (ACA) are beginning to have an impact on the marketplace. Significant percentages of firms made changes in their preventive care benefits and enrolled adult children in their benefits plans in response to provisions in the new health reform law.