Nine in 10 Americans Have Employer Health Coverage

August 30, 2005 ( - Annual premiums for employer-sponsored health plans in 2004 averaged $3,696 for individuals and $9,948 for family coverage, according to a new survey by America's Health Insurance Plans (AHIP).

The study by AHIP, a Washington, DC-based trade group for health insurers, found that about 90% of nonelderly Americans get their health insurance from their employer, which is subsidized through the tax system, the report said.

Nearly all employers pay at least half of the premium. On average, employers pay 85% of the cost of single coverage, and 72% of the cost of family coverage, the survey indicated.

“When nearly everybody in a firm signs up, premiums reflect the average cost of coverage for a large group of people – young and old, healthy and sick,” the report indicated. “Usually, all workers in a given workplace who choose the same coverage pay the same premium.”

The survey is here .