2012 Hot Topics in Retirement - Aon

46 Aon Hewitt
Likely Changes Projected
in 2013
Actual changes to post-65 retiree health benefits from 2011 to 2012 are very
similar to the above changes for pre-65 retirees and include increased retiree
contributions to premiums, retiree plan design cost-sharing requirements, and
termination of subsidized benefits for some or all future retirees.
Changes to Pre-65 Retiree Health Benefits From 2011 to 2012
Post-65 Changes
Increased retiree contributions to premiums
Increased retiree plan design cost-sharing
requirements
Terminated subsidized benefits for some or
all future retirees
Tightened restrictions on new retiree eligibility
Facilitated retiree purchase of individual
medical insurance
Introduced Medicare Advantage plans
Terminated subsidized benefits for some or
all current retirees
Introduced a new premium subsidy cap for
a group that was previously uncapped
Moved to a pure defined contribution subsidy
approach through a health reimbursement
arrangement (HRA)
Terminated Medicare Advantage plans
Other
(n=110; multiple responses)
Percentage of Plans
75%
31%
14%
11%
When asked about projected changes to retiree health benefits in 2013, more
than three-quarters of survey respondents said that they were very or somewhat
likely to increase retiree contributions to premiums. Also, over half said
that they were likely to increase retiree plan design cost-sharing requirements.
Four out of 10 said that they would change their Medicare Part D strategy.
9%
6%
6%
5%
4%
2%
3%