Employers Want to Continue Health Coverage—But Is Today’s Model Sustainable?
04 6월 2012 - 11:16PM
Business Wire
Even if the Supreme Court upholds the Affordable Care Act, an
overwhelming majority of employers want to keep providing health
benefits for their employees. But most feel the cost is
unsustainable, and they display great interest in alternatives to
traditional health insurance schemes. This was the key finding of a
new survey of more than 1,300 employers and 700 employees conducted
by the Health & Life Sciences practice of Oliver Wyman.
“Previous surveys focused on whether employers intend to drop
coverage or not,” says Mindy Kairey, a partner at Oliver Wyman and
leader of the project. “But the question is more complicated than
that. We wanted to understand why employers make the choices they
do and to understand which types of new solutions will satisfy
their needs.” To accomplish that, the survey used scenario-based
questions asking respondents to choose among multiple
alternatives—including two alternatives to traditional insurance
that are gaining currency in the marketplace: private healthcare
exchanges and value-based networks.
Some key findings:
- Employers want to provide healthcare
insurance to their employees. Only 8 percent are likely to drop
employer-sponsored coverage. Fifty percent said they will continue
to offer insurance but with major changes. The remaining 42 percent
want to maintain the status quo.
- They realize that they may not be
able to. Two-thirds of employers believe that the cost of
providing health coverage is unsustainable at current rates of
medical inflation. More than half would find it unsustainable even
if medical inflation were cut by five percentage points.
- Employers are hungry for new
solutions. When offered a private exchange alternative, 20
percent selected it even if no savings were involved, and an
additional 60 percent said they would switch to save 10 percent on
healthcare costs. When offered a value-based network alternative,
20 percent would switch even without savings and more than half
would switch for 10 percent savings. Only 10 percent of employers
said they would not consider either alternative. “Employers are
very interested in alternatives to traditional insurance,” says
Kairey. “And their demand will only increase given their desire to
continue to provide coverage to their employees. Private-sector
insurance could still be a major part of the U.S. healthcare
system—if health plans can quickly start demonstrating real
improvements in value.”
- Employees are willing to change.
In a related study, we surveyed more than 700 individuals who
currently receive their health coverage through employers. Almost
two-thirds were less than satisfied with their current insurance
arrangement and 90 percent said they were prepared to accept major
changes if it saved them money.
“To me, our survey findings suggest that we’re on the verge of a
massive shift in how healthcare coverage works,” says Kairey.
“That’s important, because more than 70 percent of the Americans
who have health insurance receive it through their employers. If
employers start to move toward models that promote efficiency and
value, we could start seeing a profound level of real reform.”
The Oliver Wyman survey is available at
www.oliverwyman.com/5144.htm. For further information or to arrange
an interview with Mindy Kairey, contact Patrick Clinton at
patrick.clinton@oliverwyman.com.
About Oliver Wyman
Oliver Wyman's Health & Life Sciences practice serves
clients in the pharmaceutical, biotechnology, medical devices,
provider, and payer sectors with strategic, operational, and
organizational advice. Deep healthcare knowledge and capabilities
allow the practice to deliver fact-based solutions. For more
information, visit www.oliverwyman.com/health.htm.
Oliver Wyman is a global leader in management consulting. With
offices in 50+ cities across 25 countries, Oliver Wyman combines
deep industry knowledge with specialized expertise in strategy,
operations, risk management, organizational transformation, and
leadership development. The firm's 3,000 professionals help clients
optimize their business, improve their operations and risk profile,
and accelerate their organizational performance to seize the most
attractive opportunities. Oliver Wyman is a wholly owned subsidiary
of Marsh & McLennan Companies [NYSE: MMC]. Follow Oliver Wyman
on Twitter @OliverWyman.
Marsh and McLennan Compa... (NYSE:MMC)
과거 데이터 주식 차트
부터 6월(6) 2024 으로 7월(7) 2024
Marsh and McLennan Compa... (NYSE:MMC)
과거 데이터 주식 차트
부터 7월(7) 2023 으로 7월(7) 2024