NJBIA 2014 HEALTH BENEFITS SURVEY Presented by Christine Stearns Vice President of Health and Legal Affairs for the New Jersey Business & Industry Association October 30, 2014

About the survey Conducted in July and August respondents 80 percent of respondents from North and Central Jersey 84 percent had only one business location

Overview Overwhelming majority of businesses provide health benefits Small businesses faced the largest cost increase: 24 percent over last year Despite challenges, large majority expect to continue benefits next year Escalating health benefit costs are the biggest threat to providing coverage in the future

Cost increases by employer size

Average Cost of Health Coverage Employee Only $7,416 Parent/Child $11,352 Husband/Wife $15,660 Family Plan $19,116

Likelihood to discontinue coverage

Reasons for discontinuing coverage

Employer contribution

Initial cost increases in 2014

How employers contained costs

How employers paid for cost increase

Conclusions Employment market drives access Employers see providing health benefits is seen a good business decision. Commitment to providing benefits is strong Employers plan to continue to offer healthcare coverage despite cost increases. Cost is the biggest threat to private-sector coverage For those employers that are considering discontinuing coverage, excessive cost increases are the reason. Value is key to containing costs Getting good results for the costs of providing healthcare coverage.

NJBIA 2014 HEALTH BENEFITS SURVEY Presented by Christine Stearns Vice President of Health and Legal Affairs for the New Jersey Business & Industry Association October 30, 2014