If America does NOT enact a single payer system, our companies will not be able to compete with foreign companies. Health care costs in the USA are expected to rise from 13% to 20% of GDP by 2017. They are under 10% in France, Germany, Britain, etc. and expected to stay there - and private employers don't have to pay for their employees' insurance since there is universal government coverage. 3% of their costs go to paperwork while it's 25% in America - plus the profits made by the insurers. While their health care is approaching our level, American companies are straining to find the funds to provide lower and lower levels of health care to their workers. What was once BC/BS is now HMO. Lower paid full-timers at some large companies aren't eligible for company-paid health coverage anymore.



I get 80% of my health premiums and almost all my prescription costs ($3000 out of $3300 last year) paid through my state teachers' pension plan by my employer - a countywide school system. Normally, I could expect such coverage for life, but with rising health costs, doubt if the degree of coverage will be, in ten years, what it is now. Already, the retired firefighters in our county are being threatened with paying 80% instead of 20% of their premiums.

Given current levels of retirement savings, the center said, six in 10 older workers are "at risk" of being unable to maintain their standard of living in retirement.

The Fidelity study, which has been conducted annually since 2002, assumes workers do not have employer-sponsored retiree health care coverage. It includes expenses associated with Medicare premium payments as well as co-payments and deductibles, plus out-of-pocket prescription drug costs.

"With health care costs continuing to outpace wage increases and companies trimming retiree health benefits, financing health care has to be central to retirement planning," said Brad Kimler, executive vice president of Fidelity's benefits consulting group.

That amount, considered the largest single expense for most people in retirement, increased 4.7% from $215,000 last year. Increases have averaged about 5.8% yearly since Fidelity began estimating costs in 2002. The amount does not include expenses such as over-the-counter medications, most dental services and long-term care.

Fidelity's study assumes that the couple will retire at 65, with a man living 17 years in retirement and a woman living 20 years. The estimate for health-care costs assumes that retirees do not have employer-sponsored retiree health care. It includes three typical costs: expenses associated with Medicare part B and D premiums (32% of the total); Medicare cost-sharing provisions -- co-payments, co-insurance, deductibles and excluded benefits -- (35%); and prescription drug out-of-pocket costs (33%).

We are pleased that the National Fraternal Order of Police has chosen our RHS product as its preferred retirement health savings plan,” said Joan McCallen, President and Chief Executive Officer of ICMA-RC. “This will be a great savings benefit for the public safety profession, who do so much to keep our nation secure.”

Chuck Canterbury, President of the National FOP, said the FOP’s Board chose ICMA-RC’s RHS Program after a thorough evaluation of all available products on the market. “ICMA-RC has been at the forefront in addressing the retirement needs of public employees and in particular public safety employees,” he said. “VantageCare Retirement Health Savings meets a very specific need in retirement for public safety workers. The National Fraternal Order of Police partnership with ICMA-RC will help FOP members build their retirement security by addressing their health care concerns.”

Kelly Bush, ICMA-RC’s National Director for Public Safety Relations, and a former public safety officer, will oversee ICMA-RC’s relationship with the National FOP.

With RHS, FOP members may choose to deduct a set percentage from their pay before taxes, and contribute their accrued leave at the time they leave service and acquire a life settlement. They also will be able to select how they want their contributions invested among 19

Once they are eligible to receive benefits from their RHS account, members can be reimbursed tax-free for any qualifying medical expense. When the member dies, the surviving spouse and dependents are automatically eligible to use the account for medical expenses, also on a tax-free basis.

ICMA-RC will work with public employers to make the plan available to their FOP members and will educate FOP members on how to take advantage of this new benefit. ICMA-RC will also supervise the administration of the benefit through personal service and dedicated phone representatives.