HIGHER DEDUCTIBLES MAY RESULT IN SICKER PATIENTS

Last year, the median deductible required by employers for individual coverage in PPOs - which cover about 69 percent of all covered employees nationwide - rose to $1,000 from $500, according to the recently released National Survey of Employer-Sponsored Health Plans conducted each year by Mercer, a benefits consulting firm. The number of employers that impose a deductible for PPO coverage has risen from about half in 2000, when the median deductible for individual coverage was just $250, to about 80 percent today, according to the Mercer report. But some observers fear the current economy could result in more people putting off necessary medical care. The trend also could mean less revenue for cash-strapped hospitals, doctors and other providers as the national economy slows down. "One thing this taught us is that hospitals aren't immune to a lack of consumer confidence. If they won't buy a car, they won't take an elective surgery either. They don't want to pay the co-pay," said said Craig Becker, president of the Tennessee Hospital Association.
(Source: The Tennessean, January 21)