Employer-Sponsored Health Plans See Strong Member Satisfaction

Most Americans who have employer-sponsored health plans expressed confidence in their health plans’ support and financial protection, according to a survey conducted on behalf of America’s Health Insurance Plans (AHIP).

“These survey results show that employer-provided coverage continues to deliver affordable access to care, important value and peace of mind for more than 183 million Americans,” Matt Eyles, president and chief executive officer of AHIP, said in a press release on the results.

Around 1,000 Americans responded to Locust Street Group’s national, online survey from January 25 to January 29, 2021.

“The data show that the steps health insurance providers are taking to keep people covered and provide them with important services during the COVID-19 crisis are really valuable and top of mind for American families,” said Phillip Morris, partner at Locust Street Group.

“Ease of use and protection in an emergency are two things many Americans are thinking about right now, and employer-provided coverage checks those boxes for Americans’ health care coverage needs.”

Slightly more than seven in ten of the survey participants stated that their employer-sponsored health plan was “easy to use” and that they understood their benefits.

Over two-thirds of the respondents said that they were satisfied with their health plan and would recommend their health insurance to others, even though payers consistently score low on major member satisfaction reports.

Three-quarters of the respondents said that their health plan would deflect higher out-of-pocket healthcare spending in the case of a medical emergency.

Care coordination and coordination of prescription drug refills were the two payer services that respondents most valued.

“Health insurance providers are always working to improve affordability, access, and value,” said Eyles. “These results make clear just how important it is for everyone to work together to bring down the underlying costs of care, such as prescription drugs and hospital costs – providing Americans with more value, more financial stability, and greater peace of mind.”

The survey also gauged employees’ opinions on policies related to employer-sponsored health plans. Specifically, the survey uncovered that over six in ten respondents supported tax-free employee health plan benefits.

Just two years prior to this survey, employer-sponsored health plans faced a 40 percent tax on plans with high healthcare spending until they were relieved of the Cadillac Tax.

Most of the participants also responded that payers should focus on improving health equity.

Almost three-quarters of the participants (72 percent) supported federal subsidization of COBRA coverage during the pandemic. Recently, Congress and the executive branch passed the American Rescue Plan which did boost COBRA subsidies during the pandemic.

Employees said that they received support from payers on accessing coronavirus testing. Over half of the respondents added that telehealth and mental health were of greater importance now than a year ago.

Most respondents were committed to receiving the coronavirus vaccine when they were permitted to do so.

“Employers are at the forefront of responding to COVID-19, and health insurance providers have been their partner along the way to keep hardworking American families covered. We appreciate that Congress and the Administration recognized that value, with timely and targeted subsidies in the latest relief package to help people stay covered during the pandemic even if they lose their jobs,” Eyles added.

Employer-sponsored coverage took a hit in 2020 when the pandemic struck and some feared that the impending Affordable Care Act premium tax credit boost would further damage this sector of the industry.

Instead, this survey revealed that employer-sponsored health plans continue to see strong health plan satisfaction, at least among AHIP members. Three-quarters of the respondents said that their employer-sponsored health plan was one motivator to accept the offer for their current job and for 78 percent of participants their coverage was a key reason for staying at their job.