Employers in US turn to private exchanges to cut health costs

SFGate.com / Bloomberg, February 20, 2014
One-third of U.S. employers plan to move their workers' health-care coverage to a private exchange in the next few years, a survey found, following the lead of companies like Walgreen Co. seeking to reduce costs. While 95 percent of employers said they would continue to offer health care in the next three to five years, 33 percent may use a private exchange to provide the benefit up from 5 percent currently, according to a survey released today by a unit of Aon Plc, a London-based insurance broker. Traditionally, most large employers are self-insured, meaning they take on the financial risk of their employees' health costs.

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