ISCEBS 18700 W. Bluemound Rd P.O. Box 209 Brookfield, WI 53008-0209 Phone: (262) 786-8771 Fax: (262) 786-8650 iscebs@iscebs.org

ISCEBS Survey Results

2009 Surveys

COBRA Survey Results: More Are Eligible, But Fewer Elect Coverage

As more and more employees become eligible for COBRA continuing health coverage due to layoffs, a smaller and smaller percentage of them are actually signing up for it, due to its high cost. That is the finding of a survey this spring by ISCEBS and Spencer's Benefits Reports , a leading research service for employee benefits plan administrators at organizations across the U.S .

The responses for 2009 were notable in that they continued at least one trend started in 2002. More re­sponses than ever viewed the cost of COBRA as too high from the employee's perspective. This concern hardly registered among employers until 2002 but in the last two surveys ranked 1 and 2. Read the press release for additional details. Full survey results are available to Society members.

Total Rewards priorities survey results point to delayed retirement, increased cost concerns and generational differences – Deloitte/ISCEBS 15th Annual Top Five Survey

For employers, the current financial crisis has thrust containing health care costs to the forefront, edging out attracting, developing and retaining employees. Talent, number one in 2008, slid to the number two spot, indicating that employers continue to struggle with balancing the need to control costs and proactively manage talent. The survey also indicates that organizations are putting greater emphasis on non-monetary rewards to address both cost and talent challenges.

Other findings show that almost half of the respondents now plan to delay their retirement, reflecting their number one personal concern of being able to afford retirement. Nearly half of respondents plan to increase contributions to their private savings and more than a third plan to initiate retirement planning outside of employer-provided resources.

New in 2009, the responses to questions specific to generational concerns indicate that despite the presence of four generations in the workforce, more than 30 percent report that generational preferences are not a factor in rewards strategy or changes.

Press release | Full survey findings | Previous Top 5 Survey findings

2008 Surveys

Steady CDH Growth is Expected for 2009: ICDC/ISCEBS Survey Findings

Employee benefits consultants are optimistic that consumer-directed health (CDH) will continue to see steady growth in 2009 and could even become part of health reform efforts, according to the fourth annual survey conducted by Inside Consumer-Directed Care and ISCEBS. However, employers' and employees' limited understanding about the plans remains a key barrier to the acceptance of the plans. Despite these concerns, many respondents were optimistic that enrollment will continue to grow as employers become more comfortable with the price setting and employees gain a better understanding of the potential cost-saving benefits. Read the full survey results here.

Employers Continue to Consider Bold Changes to Retiree Medical for 2009 and Later – Survey Findings

Providing medical benefits for pre-65 and post-65 retirees presents continuing complex and costly challenges for most employers, a new survey from ISCEBS and Towers Perrin shows. Now in its fourth year, the survey found that employers are struggling to balance conflicting objectives in responding to organizational cost pressures, rapidly rising retiree contributions, administrative challenges, and the transition of older workers into retirement. The responses of the 135 participating organizations reflect the challenges of managing current obligations and increasing costs, along with some of the changes they have made or are considering.

Press Release | Survey Findings

Consumer-Driven Health Plans Continue to Gain Momentum

The number of employers offering a consumer-driven health plan continues to grow, with 45% of survey respondents offering one, up from 37% last year, reflecting the need to curtail costs and increase consumer involvement in health care. Conducted by Aon Consulting and ISCEBS, the survey found that of those offering a CDH plan, their goals in doing so included introducing "consumerism" into health care purchases, controlling rising health care costs, providing a vehicle for retiree medical savings and encouraging better use of health care services.

Full survey findings | press release

Aegis Risk Medical Stop Loss Premium Survey Shows 2009 Premiums at an Increase

Stop loss coverage amongst plan sponsors varies greatly – causing development of an average premium cost a difficult, if not irrelevant, task. Difference in individual stop loss (ISL) deductibles, as well as variation in contract type and individual lifetime maximums can have a large effect on premium. Enrollment size also impacts cost, with larger populations able to spread their catastrophic risk across a larger pool.

Respondents represent 54 employers with approximately 194,000 employees with over $37 million in annual stop loss premium.

The survey addressed such topics as aggregate coverage, 2009 projections, and ongoing strategies. It offers a worksheet to calculate Adjusted Premium for companies to compare the specific company information to the survey findings. Read the executive summary and findings.

American Workers: Getting Ahead or Just Getting By?

Many U.S. employees are struggling to get ahead financially and they're looking to their employer for help, according to a recently released study conducted by Alliant Credit Union and ISCEBS. The study's key findings include:

• Benefits such as health and retirement plans are important, but are perceived as planning for future needs, whereas many employees have pressing current financial needs

• Those with financial concerns spend significant work time dealing with personal financial matters

• Half the respondents describe themselves as living from paycheck to paycheck, with less than 20% feeling financially secure

• Only 10% of employers currently offer some sort of program to educate employees on how to be a better manager of their own money.

• Such programs would be welcomed, with 85% wanting useful financial information at the workplace to help them become more savvy consumers.

Read the press release and executive summary here. Full survey findings are available here.

Next Generation Of 401(k)s Shows Automatic Enrollment And Step-Up Provisions Doubling Among Employers: Deloitte Survey

Employers are taking decisive actions to make 401(k) plan participation as easy as possible for employees, according to the 2008 401(k) Benchmarking survey, conducted by Deloitte, the International Foundation of Employee Benefit Plans and ISCEBS.

Of the 436 plan sponsors surveyed, 42 percent now have an automatic enrollment feature — nearly double the 23 percent total in the last survey. Another 26 percent say they are considering auto-enrollment.

Survey respondents addressed such topics as eligibility and enrollment, contributions, matching formulas, investment funds, revenue sharing, defined benefit plans, fees, vendors, plan effectiveness, communications and administration.

Survey results indicate that employers and providers are taking decisive steps to help employees get involved in investing and preparing for retirement with less effort. Examples include an autoenrollment default rate and step-up provisions that automatically increase deferral percentages on the participant's behalf. Compared to the previous survey, use of both approaches has increased.

Despite these factors and the increased popularity of time-based lifestyle funds and Roth 401(k)s, participation rates have not increased and many employers believe that their employees are not taking full advantage of their 401(k) plans to fund their retirement. Read the executive summary and full survey findings.

Survey History 2000-2008

2008
Annual Top Five Rewards Priorities Survey

2007
Annual Top Five Rewards Priorities Survey
Annual Stop Loss Survey
Annual ISCEBS/ICDC CDH Survey
Retiree Medical Programs
Annual Aon CDH Survey

2006
Annual Top Five Total Rewards Priorities Survey
Disability Plans
Annual ISCEBS/ICDC CDH Survey
Prescription Drug Strategies
Annual 401(k) Benchmarking Survey
Annual Aon CDH survey

2005
Annual Top Five Total Rewards Priorities Survey
Coping with Serious Illness in the Workplace: Working Women with Breast Cancer
Annual ISCEBS/ICDC CDH Survey
Medicare Prescription Drug Benefit
Annual 401(k) Benchmarking Survey
Annual Aon CDH Survey
Wellness Survey

2004
Annual Top Five Total Rewards Priorities Survey
HSA Survey
Single Payer System
Defined Benefit Plans
Annual 401(k) Benchmarking Survey
Employee Benefit Trends

2003
Annual Top Five Total Rewards Priorities Survey

2002
Company Stock in 401(k) Plans
Health Care Costs

2001
New Kid on the Block: Financial Planning as an Employee Benefit

2000
Employer-Sponsored Prescription Drug Benefits - A Closer Look