Optimizing Healthcare Costs of ObamaCare Cost Savings for Large Employers

author

By: Atul Rajan -- Senior Research Analyst

31 December, 2014

Optimizing Healthcare Costs of ObamaCare Cost Savings for Large Employers
WHITEPAPER

Major Issues that the large employers are facing currently due to introduction of PPACA is the ever increasing costs of healthcare. Current year has seen a soaring 78% increase in health premiums for basic health coverage. An estimate of cost per employee for large employers (more than 10000 employees) would be around USD 4800 to USD 5900. Over the next 10 years a total cost increase that all the large employers would see together would be in a range of USD 151 Billion to USD 186 Billion. This white paper addresses these issues and tries to find out an optimized solution for tackling the healthcare cost increases. The solution addresses not only the cost saving opportunities in premium payment but also suggests the cost saving opportunities for overhead elements. One of the major overhead costs is administration cost which needs proper negotiation as well as auditing. Opportunities for cost saving range from health plan restructuring to better negotiation of performance guarantees. Selection of optimum provider network also is a key factor for cost savings