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ACA Unlikely to Trigger Employer Exodus from Health Coverage
HR Daily Advisor Link to more items from this source
May 18, 2014
"The [ACA] will not trigger a rapid exodus from employer-sponsored health plans, panelists [at a recent EBRI policy forum] agreed, because large employers still see value in continuing to offer health benefits.... Employers don't see the cash savings as the sole factor.... [H]ealth care reform could weaken employer commitment to health plans... in sectors where firms pay low wages, have high worker turnover, and where workers prefer cash in hand.... Factors that could weaken large employer plan enrollment include: [1] rates of health inflation; [2] the continuation of tax-free health benefits; [3] the impact of the so-called Cadillac tax (on expensive health plans); [4] employees' continued desire for coverage from firms; and [5] customer satisfaction (or dissatisfaction) with exchange coverage."

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