Grandfathered Health Plans: A Dying Segment
Recently, Hewitt did a survey of more than 450 U.S. companies representing nearly 6.9 million employees to gauge how the recently-passed health reform bill will affect their grandfathered status. Bottom line, from the employers’ perspective, most anticipate losing their grandfathered status.
What is interesting about the results of this survey is that nearly half of the respondents indicated any cost increases would be passed along to the employees. Only 9% of the respondents said they would absorb the cost increases. As the renewal season for most employer plans is upon us, it will be interesting to see if these percentages hold up in the coming months. If so, additional cost containment measures will be necessary in order to make plans affordable for the employees and employers.
Follow this link to see complete results of survey.