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NEWS - ACA Exchange May Be Viable Benefit Option for Employers

January 30, 2014 – A premium comparison suggests the public health care exchange created by the Patient Protection and Affordable Care Act (ACA) may be an attractive benefit alternative for employers.

PwC’s Health Research Institute (HRI) found in 2014 health insurance plans offered on the ACA’s 51 new exchanges are on average, comparable to, or lower-priced than, similar employer-based plans. In addition, most exchange shoppers have a wider variety of plans than the typical employer-based offering. Employers contemplating future limits to their health care spending could face less resistance if employees are given a wider range of options at different price points via an exchange, HRI says.

A survey by the Healthcare Trends Institute, among 300 human resources executives across the country, found employers are looking into a defined contribution (DC) model for health benefits, in which an employee is offered a menu of plan options and a set dollar amount with which to purchase the most suited plan for the employee.

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