2017 Medical Plan Trends and Observations Report

Large employers expect health costs to continue rising by about 6 percent in 20171. While this is a moderate increase compared to historical
trends, it continues to outpace the rate of inflation and general wage increases, making this trend both unsustainable and unacceptable.

With the Trump Administration indicating that the excise (or Cadillac) tax will likely be overturned and employees struggling to pay the higher deductibles employers put in place to avoid that tax, organizations are looking beyond cost-sharing, to optimizing how they deliver health coverage and how employees access health care in order to control health care costs in the long run.

This report covers medical plan trends and observations for all plan types for 2017, and is based on an analysis of about 975 employee benefit
health plans drawn from The Lab powered by DirectPath and CEB research. It highlights 10 trends in employer health care strategies, in three major categories:

  • Flattening Plan Design Cost Shifts
  • Sustainable Cost Saving Mechanisms Convenient
  • High-Quality Health Care Options
2017 Medical Plan Trends and Observations Report