Delta is Increasing Health Insurance Costs to Cover COVID Cases
Due to the recent full approval of the Pfizer COVID-19 vaccine by the FDA, companies all over the U.S. are moving towards mandating vaccinations for their employees. Airlines, in particular, are taking extra precautions to prevent another outbreak that could harm their business. Some airlines have already imposed vaccination mandates, while Delta Airlines is encouraging its employees to get vaccinated in a different way.
Delta CEO Ed Bastian announced to employees that starting November 1, those who have chosen not to get vaccinated against COVID-19, except for those with verifiable medical reasons, will see a $200 increase in their company-provided health insurance premium. Bastian explained that this step is a preventive measure to help the company cover potential costs related to COVID-19 infections among unvaccinated employees. In addition to this measure, unvaccinated employees must wear masks indoors at all times and undergo weekly COVID screenings.
Delta Airlines imposes $200 monthly surcharge on unvaccinated staff https://t.co/7WtsJMT2lN
— BBC News (World) (@BBCWorld) August 25, 2021
According to Bastian, “The average hospital stay for COVID-19 has cost Delta $50,000 per person.” He added, “This surcharge is necessary to mitigate the financial risk associated with the decision not to vaccinate, which is putting our company at risk. All Delta employees who have been hospitalized with COVID in the recent weeks due to the B.1.617.2 variant were not fully vaccinated.”
A memo to employees also stated that starting September 30, “COVID pay protection will only be available to fully vaccinated individuals who experience a breakthrough infection, in compliance with state and local laws.”
Bastian mentioned that around 75% of Delta’s workforce has been fully vaccinated against COVID-19. He stressed the importance of more employees getting vaccinated, stating, “The aggressiveness of the [Delta] variant requires us to have as many of our people vaccinated as possible, aiming for close to 100 percent.”
