Large employers revising health plans for 2011

A majority of large U.S. employers plan to make changes to their 2011 health care benefit programs, according to a survey by the National Business Group on Health, a non-profit association of large employers. The survey, based on responses from 72 of the nation's largest corporations, represents more than 3.7 million employees.

The survey found that more than half (53%) of respondents are still planning to make changes to their benefit plans despite the uncertainty that exists around complying with the Patient Protection and Affordable Care Act. 

Another 19% of employers are scaling back changes they planned to make while an equal number are making no changes. The remaining respondents were still undecided pending further review of the final regulations.

Among the employers who will be making specific changes to their health benefit plans to comply with the new law, 70% indicated they will remove lifetime dollar limits on overall benefits while 37% reported they will make changes to annual or lifetime limits on specific benefits.

Employers estimate their health care benefit costs will increase an average of 8.9% next year, compared to an average increase of 7% this year. To help control those increases, employers are planning to use a variety of cost-sharing strategies. The survey found 63% of employers plan to increase the percentage employees contribute to the premium, up from 57% who did so this year, while 46% plan to raise out-of-pocket maximums next year compared with 36% this year.

 

Pictured: A survey by the national Business Group on health found that more than half of large U.S. employers plan to revise their health care plans in 2011.