PwC to employers: Focus on all medical prices—and not just drug prices

Health plans expected to continue pushing for value-based payment arrangements.

Experts at PricewaterhouseCoopers’s Health Research Institute project that medical costs in the employer insurance market will increase by 6% next year. The good news: that falls within the range of 5.5%–7% that costs have been going up the last several years. Still the year-in, year-out cost increases in health care are not sustainable, says PwC. Efforts to rein in utilization have run their course, according to PwC’s health care experts, so employers need to tackle prices if they want to control their medical costs—and not just drug prices that have been the focus recently.

Source: PricewaterhouseCoopers