How is the ACA impacting employer-sponsored plans?
April 29, 2015 12:21 PM
Overview
More employees are eligible for health benefits, but participation remains flat, premiums are increasing and workforce demographics are changing, according to the ADP Research Institutes 2015 annual health benefits report.
The report tracks key health benefit metrics for a sample of nearly 200 large employers with 1,000 or more employees from 2011 through enrollment for plan year 2015. Heres how employer-sponsored coverage in 2015 compares to 2013:
[Image: Fotolia]
The report tracks key health benefit metrics for a sample of nearly 200 large employers with 1,000 or more employees from 2011 through enrollment for plan year 2015. Heres how employer-sponsored coverage in 2015 compares to 2013:
[Image: Fotolia]
Eligibility increases, participation remains flat
Eligibility for full-time employees has increased, however, the percentage of employees electing coverage has dropped, leaving the net participation rate unchanged.
93% of employees were eligible for health benefits in 2015, a 2% increase from 2013
75% of eligible employees elected coverage, a 1% drop
69% of employees participate in health benefits, remaining steady
[Image: Fotolia]
93% of employees were eligible for health benefits in 2015, a 2% increase from 2013
75% of eligible employees elected coverage, a 1% drop
69% of employees participate in health benefits, remaining steady
[Image: Fotolia]
Younger workers decline coverage
Eligibility for employees younger than 26 has increased, but their participation has decreased.
83% of employees were eligible for health benefits in 2015, a 6% increase from 2013
44% of employees elected coverage, a 6% drop
[Image: Fotolia]
83% of employees were eligible for health benefits in 2015, a 6% increase from 2013
44% of employees elected coverage, a 6% drop
[Image: Fotolia]
Shifting demographics
Today, the insured workforce is older, has fewer dependents and more single employees than it did two years ago.
Average age: 44.2 years-old, an increase of 0.6 years from 2013
48% of participants are single, a 1% increase
Average dependent ratio: 2.1, a decrease of 0.03%
50% of participants earn less than 400% of the federal poverty level, an increase of 1%
[Image: Fotolia]
Average age: 44.2 years-old, an increase of 0.6 years from 2013
48% of participants are single, a 1% increase
Average dependent ratio: 2.1, a decrease of 0.03%
50% of participants earn less than 400% of the federal poverty level, an increase of 1%
[Image: Fotolia]
Premiums are increasing
Premiums have increased, but employers are still contributing the same amount.
Average premium per employee: $870, a 5% increase from 2013
Average premium per covered life: $410, a 6% increase
Average premium per single: $486, a 6% increase
Average premium per family: $1,216, a 6% increase
Average employer contribution: 75%, holding steady
[Image: Fotolia]
Average premium per employee: $870, a 5% increase from 2013
Average premium per covered life: $410, a 6% increase
Average premium per single: $486, a 6% increase
Average premium per family: $1,216, a 6% increase
Average employer contribution: 75%, holding steady
[Image: Fotolia]
HSA offerings, contributions rise
The number of employers offering a high-deductible health plan with a health savings account has increased since 2013, so has the percentage of employees contributing to their HSA.
35% of employers offer an HSA, a 6% increase from 2013
32% of employees contribute to their HSA, a 6% increase
[Image: Fotolia
35% of employers offer an HSA, a 6% increase from 2013
32% of employees contribute to their HSA, a 6% increase
[Image: Fotolia
