Writing for The Journal News, David Schepp ("Health Insurance Onus Consumers)" points to the tough decisions employees and employers must make about the health care benefits that will kick in for 2007 on January 1.

Although the increase in the cost of health care rose by only 7.7 percent this year, lower than in previous years when double digits were common, employees will still be asked to make larger contributions via premiums and higher deductibles.

Many businesses are forced to discontinue their health coverage for employees because they can no longer bear the cost. The percentage of Americans covered by insurance provided to them as a job benefit fell by 4.1 percent last year, a figure accounting for some 3 million Americans.

The Economic Policy Institute, a think tank based in Washington, D.C., found that no group was spared the loss of this coverage, with the problem spreading across barriers of age, race, gender, income, and educational level. One sector was particul arly hard hit, however - those in the 25 to 54 age group.

Smaller businesses are attempting to cope with high-deductible health plans called consumer-directed health plans while many are turning to health-savings accounts. Larger businesses favor health reimbursement accounts, but these benefits do not go with the employee if they leave the company.

Industry analysts suggest that these changes will have a fundamental effect on how health benefits are administered and on how individuals manage their health care options.

The full text of Schepp's article can be found at thejournalnews.com.