Insurance Exchange openings will have a strong impact on retiree medical plans The availability of insurance Exchanges coupled with changes to Medicare will lead many employers to exit sponsorship of retiree medical programs. However, many companies will provide a softer landing for current retirees by offering them account-based dei ned contribution alternatives that will make it easier to purchase insurance in the individual marketplace. Active employees and new hires will likely see a more signii cant shift in their company’s role in their retiree health care coverage, although the growth in account-based health plans (ABHPs), which provide a tax-favorable savings opportunity,.
