ACA (Obamacare) has unlocked new opportunities for small & medium-sized businesses to save money on health insurance. With these emerging models, employers can deliver great benefits to their employees at a low cost. Benefitter provides technology solutions that make it easy.
20. By 2025, “fewer than
20 percent of workers
…will receive …
employer-sponsored
health insurance”
- Zeke Emanuel
Why employers will
stop offering insurance
March 2014
And soon, more may follow….
Hi, I’m Brian Poger, CEO of Benefitter, kicking off 3 minutes to launch.
It’s clear to me based on the the last talks that I’m here to help create a little lively coffee debate…
So, let’s get started…
For the past 60 years, employers offered group health insurance (CLICK) to attract and retain employees. Without a company plan, many employees couldn’t qualify for coverage or if they could, they couldn’t afford it. But the Affordable Care Act, or ACA, changes everything.
In an ACA world, many employers would be better off dropping their group health insurance and giving employees money to buy their own insurance.
Now, as you know, the ACA, at its core, does two things: (CLICK) 1) creates a market for insurance where anyone, healthy or sick can buy health insurance, (CLICK) 2) provides federal subsidies for about 70% of the population
These subsidies can be enormous! For the average family of 4, group health insurance costs CLICK about $16K / year. The same family can buy subsidized coverage In the marketplace CLICK for only $7K. But, here’s the CATCH.
Now, as you know, the ACA, at its core, does two things: (CLICK) 1) creates a market for insurance where anyone, healthy or sick can buy health insurance, (CLICK) 2) provides federal subsidies for about 70% of the population
These subsidies can be enormous! For the average family of 4, group health insurance costs CLICK about $16K / year. The same family can buy subsidized coverage In the marketplace CLICK for only $7K. But, here’s the CATCH.
These subsidies can be enormous! For the average family of 4, group health insurance costs CLICK about $16K / year. The same family can buy subsidized coverage In the marketplace CLICK for only $7K. But, here’s the CATCH.
Employees who qualify for group health insurance cannot access these subsidized plans. And these economics create a strong incentive for many employers to consider dropping their group plans.
These subsidies can be enormous! For the average family of 4, group health insurance costs CLICK about $16K / year. The same family can buy subsidized coverage In the marketplace CLICK for only $7K. But, here’s the CATCH.
Employees who qualify for group health insurance cannot access these subsidized plans. And these economics create a strong incentive for many employers to consider dropping their group plans.
Employees who qualify for group health insurance cannot access these subsidized plans. And these economics create a strong incentive for many employers to consider dropping their group plans.
We’re already seeing this happen. Many Fortune 500 employers are reducing their group health insurance benefits, and moving employees to the public marketplaces. And that’s just the tip of the iceberg.
We’re already seeing this happen. Many Fortune 500 employers are reducing their group health insurance benefits, and moving employees to the public marketplaces. And that’s just the tip of the iceberg.
It was big news when the NY Times reported Zeke Emanuel, one of the ACA architects and administration advocates, predicted the demise of employer sponsored health insurance. But if I’m an employer, what should I do?
It was big news when the NY Times reported Zeke Emanuel, one of the ACA architects and administration advocates, predicted the demise of employer sponsored health insurance. But if I’m an employer, what should I do?
Should I drop coverage? CLICK What’s the impact for my business? CLICK For my employees?
Should I drop coverage? CLICK What’s the impact for my business? CLICK For my employees?
Many of my employees may get big subsidies, but others will be small and some none at all... If I’m an employer and I simply drop my group plan, the folks with the big subsidies will be CLICK
Many of my employees may get big subsidies, but others will be small and some none at all... If I’m an employer and I simply drop my group plan, the folks with the big subsidies will be CLICK
(glad, but my other employees may be sad or even mad)
So rather than simply drop coverage, savvy employers will adjust compensation so all of their employees can still purchase health insurance affordably. Unfortunately, given the complex way subsidies work, that’s easier said than done…
Until Now! Today, we’re releasing our new BenefitterAdvisor tool
Until Now! Today, we’re releasing our new BenefitterAdvisor tool
With Benefitter Advisor, employers can quickly CLICK compare the cost of their group health insurance to the new subsidized individual market. CLICK And, we make it easy to create a compensation strategy that’s a win for employers AND their employees!
With Benefitter Advisor, employers can quickly CLICK compare the cost of their group health insurance to the new subsidized individual market. CLICK And, we make it easy to create a compensation strategy that’s a win for employers AND their employees!
Benefitter advisor takes into account the detailed makeup of the employee population
Benefitter Advisor takes into account the detailed makeup of the employee population
To predict how subsidies available in the individual market can impact the net cost of employees’ individual insurance.
To predict how subsidies available in the individual market can impact the net cost of employees’ individual insurance.
AND, it’s this employee lens, and our proprietary approach to adjusting compensation in a smart, individualized manner, that makes tapping into the $1 trillion in federal subsidies accessible and beneficial.
AND, it’s this employee lens, and our proprietary approach to adjusting compensation in a smart, individualized manner, that makes tapping into the $1 trillion in federal subsidies accessible and beneficial.
We’ve entered into a whole new ACA world. A world where dropping health insurance and providing money is better for many employers and their employees.
I’m Brian Poger, CEO of Benefitter. Thanks very much for letting me share how our technology can help employers and employees benefit from healthcare reform!
