More employers consider narrow networks, low deductibles

Four in 10 employers offer low or no-deductible plans, and 15% of employers will offer their employees coverage with no premium, according to Mercer’s “Health and Benefit Strategies for 2024” report. 

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The report, published Nov. 17, surveyed 1,917 public and private employers. 

The number of employers offering free coverage to employees increased from 11% from 2022. Employers surveyed predicted their healthcare costs will rise 5.4% in 2024, though 45% of employers said they did not plan to increase cost-sharing for employees. 

Some employers are charging premiums based on employees’ salaries. In 2023, 29% of large employers used salary-based contributions, which will rise to 34% in 2024. 

Mercer is also seeing “increasing interest” from employers in network configurations beyond traditional PPOs, according to the consulting group’s report. Among employers with more than 20,000 employees, 29% offer some form of curated network, such as Aetna’s premier care network or Anthem’s high performance network. 

Another 10% offer plans from smaller carriers like Centivo or Imagine Health, and an additional 10% use some other form of high performing network. 

Employers are also planning to add more women’s reproductive health resources — 46% of employers surveyed plan to offer some form of benefits like high-risk pregnancy support or menopausal benefits in 2024, up from 37% in 2023. 

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