Changes to Employee Health Care: A Year in Review

Jul 7, 2017
Nearly one-third of organizations increased their overall benefits in the last 12 months, and increases were most likely in benefits packages in health (22 percent) and wellness (24 percent). These findings are according to the Society for Human Resource Management’s (SHRM’s) new Employee Benefits report.

Preferred provider organization (PPO) plans (85 percent) continue to be the most common type of health care coverage. However, health savings accounts (HSAs), which fall under the consumer-directed health plan umbrella, have gone up by 13 percentage points since 2013.

Other health care findings:

Nearly all (99 percent) of employers offer health care coverage to full-time employees, while 34 percent offer it to part-time workers.
65 percent of employers offer medical flexible spending accounts (FSAs) compared to 72 percent in 2013. 
The number of employers offering health savings accounts (HSAs) is up. Fifty-five percent of companies offer them, and employer contributions to HSAs are up by 10 percentage points compared to 2013.
Long-term care insurance is down. Twenty-two percent of employers currently offer it compared to 31 percent in 2013.
85 percent of companies offer employees a mail-order prescription program.

New health care items added to this year’s report included: cancer insurance (separate from critical care insurance) (offered by 28 percent of companies); supplemental accidental death and dismemberment insurance (employee- or employer-paid) (63 percent); supplemental short-term disability insurance (employee- or employer-paid) (55 percent); and supplemental long-term disability insurance (employee- or employer-paid) (49 percent).

For more information or to schedule an interview, please contact Vanessa Hill at 703-535-6072 or

About the Society for Human Resource Management
The Society for Human Resource Management (SHRM) is the world’s largest HR professional society, representing 285,000 members in more than 165 countries. For nearly seven decades, the Society has been the leading provider of resources serving the needs of HR professionals and advancing the practice of human resource management. SHRM has more than 575 affiliated chapters within the United States and subsidiary offices in China, India and United Arab Emirates. Visit us at and follow us on Twitter and Instagram @SHRMPress. 

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