Americans with employer health coverage get massive raises

Research done by the Kaiser Foundation compared health insurance premium growth to inflation and GDP growth in the US over the past decade(2000-2010):


Compounded Annual Growth


Absolute 10 Year Growth

Total Health Insurance Premiums 7.8% 114%
Employee Contribution to Insurance Premium 9.5% 147%
Employer Contribution to Insurance Premium 7.3% 103%
US Inflation 2.4% 26.8%
US Real GDP (2000-2009) 1.6% 15.3%

That figure for the employer contribution to insurance premium is the equivalent of a 7.3% raise every year for workers who had employer coverage. ¬†Media reports proclaiming that American wages have been stagnant are incorrect, as they don’t account for this compensation in the form of health care premiums.


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