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Benefits consultant cites 7% to higher rate hikes on small group plans
She links the increases to rising claim costs tied to wider GLP-1 use and other pressures coming through renewal data.
Susan Rider, a senior human resources consultant at OneDigital, describes how her experience in health insurance led her to track employee benefits trends as she moves through leadership roles in NABIP, the National Association of Benefits and Insurance Professionals. Rider, who now serves as Immediate Past President after handing the gavel to incoming president Mychal Walker on July 1, also works full time at Resourcing Edge, a OneDigital company, and is completing an Executive Juris Doctor in Business Law at Purdue Global.
Heading into the current renewal cycle for the small group fully insured accounts she manages, Rider says she is seeing rate increases across a range, with the low end at 7 percent. She adds that the upper end is higher but notes neither end is easy to discuss with clients.
According to Rider, two recurring culprits show up in claims data. One is the expanding use of GLP-1 medications, which she says are now being taken for weight loss by people without diabetic or prediabetic diagnoses, shifting costs onto plans.
The article also points to other pressures showing up as “the spec,” but it does not provide further detail in the excerpt provided.