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Legal battle over health costs could change workplace benefits
AXIOS May 13, 2024
An emerging legal battle over workplace health insurance could empower employees to fight back against high costs and put new pressure on their employers.
Why it matters: Workers fed up with rising health care costs, which also eat into their wages, are filing lawsuits aiming to hold employers accountable for cutting what they say are bad deals with firms that manage their health benefits.
- The heightened legal threat is contributing to employers’ efforts to take a harder line with health insurers, pharmaceutical middlemen and other benefits administrators.
The big picture: Roughly 70% of large employers that offer health insurance are self-insured, meaning they collect premiums from enrollees and pay claims themselves, while often hiring a health insurer or...
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