Mercer recently announced that 247 companies have chosen the Mercer MarketplaceTM exchange for their active and retiree exchange solutions. These relationships cover 500,000 employees and retirees and provide exchange access for more than 1,000,000 lives, including dependents. (See Figure 1.) This represents nearly five times the reach of Mercer Marketplace when compared to the 52 companies, 110,000 eligible employees/retirees, and 220,000 lives of a year ago. Additional enrollments for 2015 will continue throughout 2014.
A 2014 analysis of purchasing behavior on Mercer Marketplace showed that, given the opportunity to choose from a range of benefit options, many consumers purchased lower-cost medical plans. That, combined with access to Mercer Marketplace network arrangements, care management, and prescription drug programs, allows employers to achieve up to 15% medical plan cost savings. In addition, Mercer Marketplace drove an average savings of 10% on the cost of life and disability benefits. These savings are enjoyed by both employers and employees.
“These savings result from Mercer Marketplace’s purchasing power, combined with consumer decisions to purchase coverage that is more appropriate to their personal needs,” said Sharon Cunninghis, Mercer Marketplace leader. “The fact that employers were able to achieve significant cost savings while offering their employees the ability to personalize their benefits is exciting news. This satisfaction from both companies and individuals gives others confidence in the exchange experience and positions this as one of the standard benefits models of the future.”
In addition to the employer active and retiree clients, several companies have selected Mercer Marketplace as the platform for delivering voluntary benefits, with 330,000 employees (730,000 lives including dependents) eligible to select benefits through this program. Mercer also provides access to individual medical insurance coverage to an additional 750,000 individuals through the firm’s relationship with GetInsured. Although enrollment in these offerings may initially be modest, using Mercer Marketplace for delivery of voluntary benefits and individual medical insurance provides an avenue for both employers and employees to begin to experience the advantages the exchange platform offers.
In total, across the full range of its active, retiree, voluntary benefits only, and individual medical, Mercer Marketplace will provide access to benefits to approximately 2.5 million lives in 2015.
Learn more about Mercer Marketplace, Mercer’s flexible private exchange solution.
|Sharon Cunninghis (New York)
+1 212 345 1624
|Eric Grossman (Norwalk, CT)
Mercer Marketplace Active Exchange
+1 203 229 6105
|Chris Covill (Atlanta)
Partner, Mercer Exchange Initiative
+1 404 442 3207