• LinkedIn
  • YouTube
  • Twitter
  • Facebook
  • Google+

UPS to drop spouse health insurance, blames ACA

by on
in Compensation and Benefits,Human Resources

UPS will stop offering health insurance to many employees’ spouses next year, a move the company said was prompted by fears that the Affordable Care Act health care reform law won’t be affordable after all.

UPS estimates the move—which affects some 15,000 spouses who can obtain health coverage from their own employers—will save $60 million in 2014, according to a report by Kaiser Health News. In a memo to employees, UPS said it would reduce premiums for those whose spouses are dropped from the insurance plan.

Starting in 2015, the ACA requires most large employers to offer health benefits to employees and their dependent children, but not spouses or domestic partners.

A recent Towers Watson survey found that 4% of employers now exclude spouses from health coverage; 8% said they would in 2014. About 20% of employers said they collect a surcharge for spouses who could buy insurance through their own employers.

Like what you've read? ...Republish it and share great business tips!

Attention: Readers, Publishers, Editors, Bloggers, Media, Webmasters and more...

We believe great content should be read and passed around. After all, knowledge IS power. And good business can become great with the right information at their fingertips. If you'd like to share any of the insightful articles on BusinessManagementDaily.com, you may republish or syndicate it without charge.

The only thing we ask is that you keep the article exactly as it was written and formatted. You also need to include an attribution statement and link to the article.

" This information is proudly provided by Business Management Daily.com: http://www.businessmanagementdaily.com/36505/ups-to-drop-spouse-health-insurance-blames-aca "

Leave a Comment