Oliver Wyman: Employer-Sponsored Insurance Still Alive and Kicking

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, according to a survey from Oliver Wyman.

Joe Kornik | June 12, 2012

But survey says it's on the verge of a major transformation

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, according to a survey of more than 1,300 employers and 700 employees conducted by the Health & Life Sciences practice at Oliver Wyman.

Two-thirds of employers believe that the cost of providing health coverage is unsustainable at current rates of medical inflation. "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."

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