The International Foundation of Employee Benefit Plans recently released the results of its sixth survey on the impact of the Affordable Care Act (ACA) on single employer-sponsored plans. Key findings include:
- Over 80% of responding employers expect increases in their health care costs in 2015 with most projecting increases between 1% and 6%.
- One-third of employers expect the greatest cost increases to occur in 2016 when new reporting requirements take effect. One-quarter expect the highest cost increases in 2018 when the excise tax on high-cost plans (i.e., the “Cadillac Tax”) takes effect.
- An increasing number of employers are taking action to avoid the excise tax in 2018 with the most common action being implementation of a consumer-driven health plan.
- Although three in five respondents believe the ACA has negatively impacted their organization, nearly all anticipate continuing to offer health coverage.