The Protecting Americans’ Coverage Together (PACT) coalition held an in-person event on Capitol Hill on research affirming the significant benefits of the employer-sponsored insurance (ESI) system to both employers and employees. Representative Mariannette Miller-Meeks (IA-01) kicked off the event sharing her experience as a physician and spoke about her patients’ ability to promptly access needed medical treatments covered by private insurance. She contrasted this treatment accessibility in the U.S. against the lengthy delays and hurdles facing patients in countries with single payer government-run health coverage.
The discussion that followed focused on two analyses assessing the value businesses and Americans place on ESI. First, the U.S. Chamber of Commerce’s Katie Mahoney reviewed the results of research from Avalere Health that measured the return on investment (ROI) for employers who offer ESI. The top-line finding is significant: in 2022, employers realized a 47% ROI. Additionally, a pollster from Seven Letter Insight discussed results from a survey that revealed Americans are overwhelmingly satisfied with ESI coverage, with people describing their coverage as affordable, high quality, and convenient.
The PACT coalition speakers then expanded on the ESI system’s value by providing ideas for strengthening employer health insurance through policy innovation. These perspectives and efforts seek to reinforce and expand employer-provided coverage, which serves as the backbone of American health care.
As a coalition of business voices united in support of strengthening the current ESI system, PACT is committed to protecting the coverage and benefits that American families depend on for their health. Coalition members include the U.S. Chamber of Commerce, Business Roundtable, Vermeer Corporation, the National Association of Manufacturers, and Council for Affordable Health Coverage. Highlights from the data presented at the briefing can be found below.
Key results from the Avalere research:
- ESI provided an estimated 47% ROI to employers with 100 or more employees. By 2026, employers’ ROI is estimated to jump to 56%.
- The direct financial return can be attributed to lower direct medical costs, increased productivity, lower recruitment costs, and stronger retention.
- Improved productivity represents the largest share, returning more than $275 billion to businesses, which is expected to climb over the next five years.
Key results from the Seven Letter Insight poll:
- 93% of Americans are satisfied with their ESI. Of these satisfied respondents, 54% reported they are “highly satisfied” – a level of intensity rarely seen in consumer sentiment.
- Employees overwhelmingly prefer ESI to other types of coverage with 89% of respondents believing the coverage they receive from work is better for their families than coverage through other means – a perception held true across political parties.
- Workers believe their ESI is “affordable,” “high-quality,” and “convenient” with 87% agreeing their coverage is “affordable” and more than 70% agreeing their health insurance is worth what they pay for it.