Transamerica Center for Health Studies The Final Countdown

TRANSAMERICA CENTER FOR HEALTH STUDIES* THE FINAL COUNTDOWN SMALL BUSINESS OUTLOOK ON HEALTH CARE COVERAGE AND THE ACA Statistics from The First Annual Transamerica Center for Health Studies Survey: Benchmark on Health Care Coverage Perceptions and Readiness, a survey conducted by Harris Interactive. CONSENSUS ON VALUE 84% of ALL businesses and 76% of SMALL AND MICRO businesses (1-49 employees), agree that health care benefits help keep employees healthy, leading to better productivity. CURRENT APPROACH Which is closer to your company's current approach to health insurance? Sources of information small and micro businesses consult about health care: 46 61%, REDUCE : 39% INSURER 28 TV NEWS PAY 26 MAGAZINE/ NEWSPAPER COSTS 5 MORE 5 EVEN WITH FOR 9. LOWER HIGHER 10 10 QUALITY QUALITY 11 11 APPROACH TO IMPLEMENTATION What actions is your company currently taking in preparation for changes related to the ACA? Micro Business 1-9 EMPLOYEES 61% 18% 12% | ANmp NONE RESEARCH REPLACE DETAILS OF ACA AT THIS TIME FULL TIME WITH PART TIME small Business 10-49 EMPLOYEES 38% 31% 29% 28% 18% CONSULT RESEARCH NONE CONSULT REPLACE WITH BENEFIT ADVISOR DETAILS OF ACA AT THIS TIME WITH CURRENT PROVIDER FULL TIME WITH PART TIME EXPECTATIONS What changes does your company currently expect in health care benefits in the next 1-2 years? 2014-2015 7% 15% Reduce or Eliminate Coverage Add Health Insurance Change Plan Options None WORKER LEVELS In the next 1-2 years, does your company expect an INCREASE, DECREASE or NO CHANGE in the Over the next 2 years, how do you expect your employee numbers to CHANGE as a number of employees? result of the ACA? Business Micro 1-9 EMPLOYEES 26% 7% 67% 5% 12% 83% INCREASE DECREASE NO CHANGE INCREASE DECREASE NO CHANGE small Business 10-49 EMPLOYEES 41% 10% 49% 15% 21% 64% INCREASE DECREASE NO CHANGE INCREASE DECREASE NO CHANGE НОPES What does your company currently expect to be IMPROVED by the ACA? 25% 23% 21% 15% 47% LOWER COSTS AFFORDABLE COST IMPROVED HEALTH CARE NOTHING HEALTH RENEFITS FEARS What CONCERNS does your company currently have regarding the ACA? 38% 35% 25% 20% 36% Higher cost for medical benefits Higher administrative burden Reduced hours or employees due to cost Reduced or removal of all health benefits None Quality of health care will decrease