Importance of Affordable and Adequate Healthcare Benefits

Document created by 1050210 on Nov 13, 2014
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Published Date: 08/04/2014

 

Reneé Watkins

By Reneé Watkins

 

A recent report issued by Securian Financial Group, presented the results of a survey on the importance of affordable health benefits to American workers. The survey polled more than 750 American workers of which 94 percent held full-time positions. Of those surveyed, 55 percent worked in managerial roles, 50 percent reported annual household incomes of between $50k and $100k, and 23 percent reported annual household incomes above $100k.

 

According to the report, 60 percent of US workers are loyal to their current employer primarily because they receive health insurance as an employee benefit. More than 40 percent of those surveyed said they would seek employment elsewhere or start their own business if they could secure affordable health insurance on their own. Fifty-six percent said they had considered leaving in recent months, but could not afford to give up their current health insurance.

 

Of those surveyed, 83 percent indicated they were very satisfied with the cost and coverage of health benefits as provided by their current employer. Forty-three percent of those surveyed reported having turned down job offers in recent months due to the high cost or inadequate coverage offered by their prospective employer. Therefore, it can be concluded to be important that employers provide adequate coverage at a low cost to employees as a retention strategy.

 

Obamacare is supposed to be providing that affordable alternative to employer provided health insurance. How will this affect the loyalty of these workers in an economy where many are only working for the purpose of receiving affordable health benefits? The Congressional Budget Office estimates the Affordable Care Act could result in 2,000,000 workers leaving the workforce between 2017 and 2024. The National Bureau of Economic Research estimates between 500,000 and 900,000 workers will leave the workforce within the first 12 months of affordable healthcare being available as a result of Obamacare.

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