Employers don’t plan on exiting health care game any time soon

Thirty-three percent of employers say they “definitely will” offer health care benefits over the next five years, and an additional 52 percent say they are “very likely” to do so, according to recent research from the International Foundation of Employee Benefit Plans (IFEBP). Less than 5 percent of employers say they are planning to quit offering coverage over the next five years.

The survey, 2015 Employer-Sponsored Health Care: ACA’s Impact, includes responses from 598 human resources and benefits professionals and found that employers are committed to providing benefits to employees to attract future talent, retain current employees, and maintain/increase employee satisfaction and loyalty.

Negative impact. According to IFEBP, three in five employers believe that the Patient Protection and Affordable Care Act (ACA) has had a negative impact on their company. Among those who said their organization’s view of the law has changed since enactment in 2010, more than three-quarters said that view has become more negative. Despite these negative feelings, more than half of organizations say they are compliant with the provisions of the ACA and say they are developing multiyear strategies to deal with the ACA’s requirements.

Health care costs. Two-thirds of organizations have conducted an analysis to determine how ACA will affect 2015 health care costs, according to the survey. Among all organizations, 82 percent expect the law to increase their organization’s health care costs this year. Most organizations are projecting the increase to be between 1 percent and 6 percent.

Implementation of health care cost-containment measures has increased due to the ACA, noted IFEBP. More than one-third of organizations have already increased out-of-pocket limits, in-network deductibles, and/or participants’ share of premium costs. In addition, one in five employers have adopted or expanded wellness initiatives because of the ACA, and another 17 percent plan to do so in the next 12 months.

For more information, visit http://blog.ifebp.org/index.php/employers-reveal-acas-impact-in-sixth-annual-survey.

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