News Release
Medical Costs Set to Accelerate in 2008
2/7/08 -After four years of a decelerating cost trend, worldwide medical costs are expected to increase at double digit rates in 2008 and for the next several years beyond. Medical cost inflation is expected to exceed 10+ this year according to a poll of 84 worldwide health insurance companies conducted by consultant Watson Wyatt Worldwide.
Insurers in Asia, Africa, Hong Kong, Singapore, Latin America and Italy report that the medical cost inflation trends that have challenged U.S. employers are now a threat to employers worldwide.
U.S. and worldwide short term medical insurance rates are bases directly on the level of costs incurred. The price of short term medical insurance has been relatively stable in 2006 and 2007 but consumers should expect more significant prices increases within the next year.