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One in Four Employers Expect Health Reform’s 2011 Requirements to Add 3% or More to Next Year's Cost

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Topics: Employer-Sponsored Coverage | Health Care Reform | Individual Coverage

Mercer released a survey on May 20 that found that 41 percent of employers expect the national health care reform law to increase their costs for providing health benefits by 2 percent or less, while 25 percent expect their costs to increase by at least 3 percent.  On average, only 25 percent of employers plan to offer coverage to their employees’ dependents up to age 26 before they are required to do so, and only 17 percent of employers with 5,000 or more employees expect to offer the coverage before their next plan renewal, which in most cases will be January 2011.

From the survey:

Many employers are bracing for higher health care costs resulting from compliance with health reform mandates that take effect with the 2011 plan year. According to a survey of nearly 800 employers released today by Mercer, the cost impact will range from moderate to severe, depending on the employer’s circumstances.

Full survey: http://www.mercer.com/summary.htm?idContent=1380755exit disclaimer small icon

Mercer. (2010). Employer health reform survey.

 


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