Open enrollment is here and the cost of employer health plans is going up — again

If you are in the majority of people under 65 who get health insurance through an employer, you’ve probably noticed it’s getting more expensive.

Premiums for people with employer-sponsored insurance rose 9% this year, on average, according to a new survey from the health policy nonprofit KFF. All indications are they’re on track to rise again next year.

We are heading into open enrollment season, that time of year when you sign up for health insurance.

“Everywhere you look, costs are going up this year,” said Sabrina Corlette, a research professor at Georgetown University's Center on Health Insurance Reforms.

Most people with employer-sponsored coverage can expect to see higher premiums next year, especially if they work for smaller companies, she said.

“If they're lucky enough to have a choice of more than one plan, they may be able to shift to a lower cost plan, but often that will come with downsides, like a narrower network or a higher deductible,” she said.

Employer-sponsored insurance has long been the backbone of the U.S. healthcare system. “But that backbone is really starting to crumble,” said Corlette.

It’s not just monthly premiums that are rising; many employers are also raising co-pays and deductibles, making it more expensive to actually go to the doctor.

All of this is presenting a real challenge for many people, said Matthew Rae, the associate director of the Program on the Health Care Marketplace at the health policy nonprofit KFF.

“If you're in a family health insurance plan, on average, you're spending over $7,000 to enroll in coverage,” he said.

And the average deductible for one person is now almost $2,000.

“Many people with job-based coverage don't have the savings to meet those levels of deductibles,” he said. Which means, increasingly, even people who have insurance feel like they can’t afford to use it.