November 2004 |
Soaring costs of health benefits have employers grappling with what to do about the retiree health benefit plans they sponsor. Is it logical to sustain current plans when employers often have virtually no control over the escalation of costs, and inflation is historically high and persistent? Retiree health benefits are in jeopardy as many employers curtail or eliminate them. What does the future hold for retiree health benefits at colleges and universities? How does the demographic composition of the workforce and burgeoning retiree faculty population influence strategic planning? Does the new Medicare legislation offer some relief for employers through Health Savings Accounts? Does less generous retiree health insurance coverage reduce the incentive to retire?
The TIAA-CREF Institute, the American Council on Education, and NACUBO convened a panel of experts to discuss the impact of retiree health insurance on faculty retirement decisions.
Topics addressed included:
- Findings from studies on the escalating cost of providing health insurance for active and retired workers.
- Overview of trend data on the varied coverage options and provisions of retiree health insurance and personal expenditures for health care.
- Cost/benefit analysis of reducing retiree health benefits from an institutional perspective.
- Examples of what institutions are doing to encourage individual employees to take on greater responsibility for retirement planning.
- Implications of aging faculty on strategic planning for health benefits.