In 2013, yet another financial challenge will befall the baby boomer generation as the $5 billion Early Retiree Reinsurance Program, funded under the Affordable Care Act, expires in 2013, to be followed by health insurance exchanges for individual coverage. Self-funded employers have used the subsidy program to help with the costs of premiums for those aged 55-64. The subsidy program was quickly embraced by employers and ERRP stopped taking new applications in May.

Now, a new survey from HighRoads, a health care regulation and compliance company, shows employers are not planning any short-term changes. However, 79 percent did take advantage of the subsidy, indicating they will have to re-evaluate costs once the subsidy expires.

The HighRoads survey set out to determine the impact, if any, to retiree medical plan strategies as a result of the ERRP subsidy and the change in tax liabilities for the Retiree Drug Subsidy Program. Respondents ranged in size from 5,000 employees to 100,000+ employees. The average respondent has between 25,000 and 50,000 employees.