With health care expenditures in the United States fast approaching 17.7% of gross domestic product (GDP), the cost of health care is a valid concern. Additionally, as employers of all sizes reel in the wake of the Patient Protection and Affordable Care Act (PPACA), the question they still beg to question is: How much does health care cost?
A common argument that permeates the halls of many employee benefits firms is which states have the highest and lowest cost of health care. Fortunately, the 2014 United Benefit Advisors (UBA) Health Plan Survey has the answers. The UBA Health Plan Survey is the largest in the country, representing more than 16,000 employer health plans.
The top five states with the highest cost of health insurance are primarily focused on the east coast, with one state jumping out of the bunch.
| #5 | Delaware | $11,590 | Nicknamed the Diamond State, Delaware comes in at #5. |
| #4 | Massachusetts | $11,594 | The state with the original health care mandate comes in at #4. |
| #3 | New York | $11,740 | The state with the Big Apple bites off the #3 spot on the list. |
| #2 | New Jersey | $11,895 | The Garden State fills in the #2 spot. |
| #1 | Alaska | $12,584 | The Last Frontier comes in at the #1 spot. |
On the other end of the spectrum comes the list of the five states with the lowest cost of health insurance.
| #5 | Kentucky | $7,722 | The horses are healthy and running fast in the #5 state. |
| #4 | Oklahoma | $7,679 | With the Oklahoma Surgery Center, sooner or later this will top the list. |
| #3 | Arizona | $7,652 | There is a depth of cost difference in this Grand Canyon state. |
| #2 | Kansas | $7,597 | This state shines like a sunflower when it comes to costs. |
| #1 | Arkansas | $7,434 | Naturally, this state is at the top of the list for the lowest health care in the country |
For the latest health plan cost trends, read our press release with industry findings and download the UBA Health Plan Survey Executive Summary. To benchmark your plan to others in your region, industry or size bracket, contact a UBA Partner near you to run a custom benchmarking report.
Source: UBA Insight and Analysis Blog
Peter Freska, Benefits Advisor at The LBL Group A UBA Partner Firm
