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Containing Health Insurance Cost Increases
There's no relief in sight from rising health-care costs. Hewitt Associates, of Lincolnshire, IL, projects that health care costs will increase 15.4% this year, following an average rate hike last year of 13.7%. If this trend continues, Hewitt estimates, health coverage cost will double over the next 5 years.
Law firms coast-to-coast therefore continue to search for their own magic bullets. While doing so, however, they're being careful not to shoot themselves in the foot. Firms see a strong benefits package as critical to retaining and recruiting employees, and therefore take a largely conservative approach to managing health-care costs ' trying to maintain generous levels of coverage while minimizing the financial blow to employees.
Even with similar overall goals, different firms are exploring a variety of solutions. Notable approaches include consolidating multiple plans, focusing on high quality basic coverage, adopting sliding-scale premiums, and experimenting with innovative insurance pools.
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