EBRI Survey on Employee Attitudes Toward Health Care and Retirement Decisions

A recent survey by the Employee Benefits Research Institute shows that having access to health care benefits was a big factor in employee decision-making about when to retire. Three-quarters of retirees said they worked longer than they would have otherwise to maintain access to their health plan. A majority of current workers agreed with a statement that said they “planned to work longer than you would like in order to continue receiving health insurance through your employer.” Another question in the survey found that more than a quarter of Americans say they would consider an earlier retirement date, should they have guaranteed access to health benefits. That number has slowly ticked upward, from 15 percent in 2003, over the past decade.

Study author Paul Fronstin argues that the Affordable Care Act will change this paradigm: It will end denials of coverage for preexisting conditions and subsidize health insurance for low- and middle-income Americans, meaning employees will theoretically not be factoring access to employer-sponsored health care in retirement timing decisions if they know they can get affordable coverage on an exchange. However, one factor that could temper enthusiasm for earlier retirement is prices. While retirees will have guaranteed access to health benefits, they may find that buying a benefit package becomes increasingly expensive when an employer isn’t kicking in a contribution.

Paul Fronstin from EBRI is a confirmed speaker and will be joining us in Dallas, Texas at NBCH's National Health Leadership Council meeting February 28 - March 1. We hope you have marked your calendars for this exciting discussion on exchanges.