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Greatest cost effects in 2013 are felt by small firms
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More than two-thirds of U.S. employers that are providing health benefits have analyzed how the Patient Protection and Affordable Care Act (PPACA or ACA) will affect their health care plan costs, according to a survey by the International Foundation of Employee Benefits Plans.
The survey, ACA’s Cost Impact: Employer-Sponsored Health Plans, found that the most common ways that organizations plan to deal with increased expenses are by shifting costs to employees (53 percent) and by increasing wellness and value-based health care initiatives (36 percent) to encourage workers to maintain good health.
Additional findings include:
The survey is a companion to the recent 2013 Employer-Sponsored Health Care: ACA’s Impact, which covered employer concerns about plan design and funding, methods for communicating with employees, grandfathered plan status, reactions to health insurance exchanges, and cost management initiatives. (See the
SHRM Online article "Employers Adjust Health Benefit Strategies in Reform's Wake.")
“The time period for organizations to wait and see has come and gone,” said Julie Stich, research director at the International Foundation. “More employers are looking into the direct costs of implementing the ACA, how it will impact their bottom line and ways to cut costs.”
Survey responses were received from 728 human resource and benefits professionals and other industry experts from organizations representing U.S. employers with fewer than 50 to more than 10,000 employees.
is an online editor/manager for SHRM.
Related SHRM Articles:
Time to Get Strategic,
HR Magazine, August 2013
PCORI & Reinsurance Fees—Keeping Them Straight, SHRM Online Benefits, June 2013
Study: 6.5% Growth in Medical Costs for 2014,
SHRM Online Benefits, June 2013
Employer Plans for Health Care Reform Evolving,
SHRM Online Benefits, June 2013
Employers Adjust Health Benefit Strategies in Reform's Wake,
SHRM Online Benefits, May 2013
Critics Say PPACA May Encourage ‘Part-Time Society,’ SHRM Online Legal Issues, May 2013
SHRM Online Health Care Reform Resource Page
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