There are several changes expected in the employer-sponsored health plan market for 2016, as changes from the Affordable Care Act continue to affect coverage, according to a Benefits News report.
Here are five key notes on the trends:
1. Most employers have already modified their benefits plans from last year, and more than half surveyed expect their medical plans to exceed the Affordable Care Act's Cadillac tax. The tax was delayed from a 2018 implementation date to 2020.
2. Half of employers plan to continue making changes to their plans this year or next by adding high-deductible plans, increasing employee contribution percentage or co-insurance, according to the report.
3. Many companies are also considering making strategic changes to their plans that address chronic condition management as well as mental, financial and social well-being. Half of the companies — 51 percent — have wellness offerings and 27 percent report planning to add wellness incentives or penalties this year.
4. Employers are split on concern about the Cadillac tax:
• 13 percent are very concerned
• 39 percent are somewhat concerned
• 29 percent are neutral
• 10 percent are not very concerned
• 4 percent are not at all concerned
5. Some employers plan to offer voluntary benefits including critical illness and accident insurance to offset financial risk with high deductible plans.