February 21, 2007 |
Posted By Diane Pfadenhauer |
Benefit Trends to Watch
Watson Wyatt predicts the following tends for 2007 in the benefits area:
- Increased focus on high-deductible health plans (HDHPs) coupled with a reimbursement arrangement (e.g., health savings accounts), although few employers appear to be completely replacing their current plans with an HDHP.
- More benefits information and tools online.
- As more popular prescription drugs come off patent in the next three years and their prices are reduced, employers will loosen their requirements that employees use generic drugs whenever possible.
- Greater integration between healthcare and absence management programs.
- More on-site clinics in the workplace.
- Companies will consider new retirement plan options such as cash balance plans or other hybrid models.
- Companies will consider alternative investments in retirement plans such as private equity, hedge funds, infrastructure and real estate.