Newsline

ACCA Releases Study On Health Benefit Costs

January 27, 2005
/ Print / Reprints /
ShareMore
/ Text Size+
ARLINGTON, Va. - Health insurance costs have continued to rise dramatically for HVACR contractors during the past two years, leading many to lower the benefits they offer to their employees.

The Air Conditioning Contractors of America (ACCA) released a new revised study on the health insurance costs of HVACR contractors. Last fall the association completed a survey of more than 200 contracting businesses in an effort to update a previous analysis, which was released in 2002.

A total of 79 percent of respondents received increases of more than 10 percent in 2003 (with 26 percent posting premium increases of more than 20 percent).

In 2004, 69 percent of participants saw their premiums increase more than 10 percent, and 22 percent saw increases of more than 20 percent.

In response to the growing premium, more contractors are reducing benefits for employees. In 2003, 50 percent of participants reduced available health benefits, and 56 percent lowered them in 2004. In contrast, only 10 percent of the participants increased their health benefits in 2004.

On average, contractors require their employees to pay 28 percent of the premium costs. The study showed 39 percent require employees to pay under 10 percent of the premium, while 30 percent require employees to pay 40 percent or more of the premium.

On average, 74 percent of employees are participating in health insurance programs sponsored by the responding contractors.

Health insurance costs account for, on average, 5.2 percent of the contractors' total expense outlays. This is down slightly from the 2002 study, possibly based on the decreasing coverage options being offered to employees.

For more information on the report, visit www.acca.org/biz/datatools.

Publication date: 01/31/2005

Did you enjoy this article? Click here to subscribe to The NEWS Magazine

You must login or register in order to post a comment.

Multimedia

Videos

Image Galleries

2014 Energy Efficiency Forum

Highlights from the 25th annual Energy Efficiency Forum in Washington, D.C.

Podcasts

NEWSMakers: Mark Satterfield

Mark Satterfield, founder and CEO of Gentle Rain Marketing Inc. and author of “The One Week Marketing Plan” talks about his book and the importance of HVAC blogging. Posted on Sept. 19.

More Podcasts

ACHRNEWS

NEWS 09-15-14 cover

2014 September 15

Check out the weekly edition of The NEWS today!

Table Of Contents Subscribe

Venting R-22

The NEWS reported that a man received prison time for venting R-22. Should EPA step up enforcement?
View Results Poll Archive

HVACR INDUSTRY STORE

plumbing-hvac.gif
2014 National Plumbing & HVAC Estimator

Every plumbing and HVAC estimator can use the cost estimates in this practical manual!

More Products

Clear Seas Research

 

Clear Seas ResearchWith access to over one million professionals and more than 60 industry-specific publications, Clear Seas Research offers relevant insights from those who know your industry best. Let us customize a market research solution that exceeds your marketing goals.

DON'T MISS A THING

Magazine image
 
Register today for complete access to ACHRNews.com. Get full access to the latest features, Extra Edition, and more.

STAY CONNECTED

facebook icontwitter iconyoutube iconLinkedIn i con