Another Year of Double-Digit Health-Care Costs Is Coming

nsurers are predicting double-digit cost increases once again for 2006—making this the sixth year in a row for such increases. However, the rate of increase is slowing, ac-cording to the Spring 2006 Health Care Trend Survey by Aon Consult¬ing (www.aon.com).
The survey reported that health plan rates are projected to rise 12.4% for PPOs; 12.2% for HMOs; 11.9% for POS plans; and 14.4% for indem¬nity plans. These predicted rates have fallen compared to 2005, according to Aon. In 2005, HMO rates rose by 13.2%; PPOs and POS plans each were up 13%; and indemnity plan hikes were 14.6%.
Costs for consumer-driven health by 12.5%, slight¬ly less than last year’s 12.7%.
Prescription drug costs are fol¬lowing a similar trend, the survey found. General pharmacy costs are expected to increase by 12.2% this year, compared to 13.1% a year ago. Specialty drug costs will in-crease by 17%, a drop from 22.5% in 2005.