Employers Plan To Cause Spike in Medical Use under PPACA

Employers plan to improve preventative care under PPACA

A new survey of employers shows that 46% plan to enhance their preventative care benefits in response to health care reform regulations of The Patient Protection and Affordable Care Act (PPACA).

The Highroads survey included 163 companies, each averaging 6,000 enrolled employees.

Exactly 60% of responding employers plan to provide free coverage for some or all preventative care services without out-of-pocket cost sharing by employees through integrated wellness programs, according to Highroads.

A total of 64% of larger employers offer “grandfathered” plans, which existed on or before March 23 and meet certain PPACA requirements that exempt them from some health reform regulations prior to 2014, says Highroads. “Non-grandfathered” plans will be required to cover preventative services without charging co-pay, co-insurance or deductible,

“Given the current economic environment, many believe that employees have forgone preventative care when co-pays are required in lieu of paying their mortgage or other necessary bills. This may contribute to a spike in utilization once co-payments are removed,” Josh Miley, a Highroads principal, said in a statement.

By Jaime L. Brockway


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