Posted on August 24, 2011 09:27
Categories: Employer and Individual Insurance
Topics: Employer-Sponsored Coverage | Health Care Reform
On August 1, Mercer LLC. released a survey finding that only 8 percent of employers are “very likely” or “likely” to stop offering coverage after health reform’s employer-sponsored health coverage mandate takes effect in 2014. Under the mandate, employers with 50 or more employees must offer health coverage or pay a fine for each employee that purchases subsidized coverage through the law’s health exchanges. Mercer found that 47 percent of employers are “not at all likely” to stop offering coverage while an additional 46 percent are “not very likely” to do so. The survey also found that employers have experienced a 2 percent increase in health coverage enrollment attributable to the law’s dependent coverage extension and anticipate an additional 2 percent increase in 2014 when the law requires employers to automatically enroll employees into health coverage.
From the report:
In just over a year since the passage of the Patient Protection and Affordable Care Act (PPACA), employers have already felt its effects, with an average 2% increase in enrollment as they extended eligibility for dependent coverage to employees’ children up to age 26 (Fig. 1). According to a survey of nearly 900 employers released today by Mercer, PPACA’s rule requiring employers to automatically enroll newly hired, or newly eligible, full-time employees into a health plan will cause enrollment to grow by another 2% on average in 2014, when the provision is slated to go into effect.
Full report: US Employer Health Plan Enrollment Up 2% Under PPACA’s Dependent Eligibility Rule
Mercer. (2011). US employer health plan enrollment up 2% under PPACA’s dependent eligibility rule.
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