Aon Hewitt has been providing and administering retiree medical exchanges for several years. In anticipation of changes to the insurance market, the organization is extending its exchange model to offer employers a viable option for active employees.
According to the announcement, in health care conferences for Aon Hewitt clients in Chicago and New York, 243 participants were asked about their plans to provide health care coverage to their employees in 2015 and beyond. There was a nearly even split between employers who thought they would ultimately be delivering health benefits via a corporate exchange (43%) versus continuing to offer health care benefits directly with greater financial controls and policies (47%).
Meanwhile, 9% said they would continue their attempts to manage the health care trend annually, based on current business and economic conditions, and just 1% said they do not believe they would be offering health care coverage at all in 2015.“Client concerns about providing health care coverage center on the balance between removing risk and volatility, and offering coverage as a key attraction and retention tool,” said John Zern, Americas Health & Benefits Practice leader with Aon Hewitt, in the announcement. “The Aon Hewitt corporate exchange model addresses both these issues. Volatility is mitigated through a defined employer contribution for employees to purchase coverage through the exchange, and this important benefit is delivered through a partner with a proven track record for success as the nation’s leading health care consultant and employee benefits outsourcer.”