Insurance

The Affordable Care Act has increased the burden for benefit professionals and forced employers to alter their business practices to comply with the health care reform law, industry experts told Congress.

It’s not often a company finds itself in a market position where it has the flexibility and agility of a newcomer, along with a storied history that provides name recognition and a solid base of existing expertise. Global financial services giant AXA is in this sweet spot as it enters the U.S. employee benefit business for the first time.

A plan’s average account balance is a key metric used by recordkeepers and other service providers to evaluate its health. Increasing it can give sponsors the leverage they need to negotiate lower fees.

While several reasons have been suggested for a plateau effect in public exchange enrollment, it may all come down to dollars and cents, as well as carrots and sticks.

Of the people who purchased health insurance through a public exchange in 2014, 9% more federal exchange participants re-enrolled compared to the state-run marketplaces.

A third of employers say they’ve experienced fines and penalties in the past year because of non-compliance with government regulations, many of which they are simply unaware of. For many, expert advice from benefit advisers could be a real solution.

Enrollment in private health care exchanges hit 6 million for the 2015 plan year, according to Accenture — doubling the 3 million figure from 2014. Most of the growth is in the mid-market segment.

Some universities that provide health insurance to their students are stopping the practice, as they say the Affordable Care Act’s minimal essential health benefits requirements have led to unsustainable cost increases. Those that remain are turning to their brokers to determine the best way to continue offering coverage to their students.

Employees of all ages want disability coverage, but rising health care costs, stagnant wages and cost-shifting keep participation rates low.

Neuroeconomics is a combination of economics, neuroscience and psychology and it can affect how employees make investment decisions in their 401(k) plan.