Survey: Employers committed to providing health benefits, interested in private exchanges

Ninety-seven percent of employers are committed to offering health benefits to current employees, and many employers are exploring private health insurance exchanges as a means of cutting healthcare costs, reducing administrative burdens and enhancing the benefits they offer covered employees, according to a report by the Private Exchange Evaluation Collaborative Evaluation Collaborative.

The PEEC's report is based off survey results from 446 employers from 34 industries across the nation.

According to the report, 47 percent of employers have implemented or considered using a private exchange for full-time active employees before 2018, a 2 percent increase from last year. Fifty-seven percent of respondents said they would be more likely to move to a private exchange if an industry peer did.

Employers consider cost a key consideration when evaluating private exchanges, especially the cost of plan design options (indicated by 98 percent of respondents), administrative fee levels (97 percent) and disclosure of exchange fees and revenue (95 percent). Other elements employers prioritize are the shopping experience and the availability of ACOs and new delivery models.

Respondents indicated funding options are very important within companies of all sizes and industries. Fifty-one percent of employers said it was very important to have a self-insured option. The survey also found employers believe control over plan design and consultant relationships is very important (83 percent and 81 percent, respectively).

The survey found fewer employers have already offered or plan to offer a private exchange for their post-65 retirees, with 37 percent of respondents indicating so. Fifty-four percent of employers are likely to offer healthcare benefits to pre-65 retirees in 2015, but this figure falls to 38 percent for 2018. About 33 percent of respondents said they are likely to offer benefits to post-65 retirees in 2015, but only 24 percent in 2018.

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