FACT SHEET: In First Year, President Biden’s Bipartisan PACT Act Delivers Care for Veterans in all 50 States and U.S. Territories and Advances Unity Agenda

By The White House - One year ago today, President Biden signed the landmark bipartisan Sergeant First Class Heath Robinson Honoring our Promise to Address Comprehensive Toxics (PACT) Act into law, enacting the most significant expansion of benefits and services for toxic exposed veterans in more than 30 years. Named in honor of Sergeant First Class Heath Robinson, a decorated combat medic who died from a rare form of lung cancer, this historic legislation is delivering timely benefits and services to veterans—across all generations—who have been impacted by toxic exposures while serving our country. Read Full Article…

VBA Article Summary

1. PACT Act's Achievements: The PACT Act addresses health risks and the challenge of veterans establishing a direct connection between their service and resulting disabilities, especially from military environmental exposures. Over 4.1 million veterans have been screened for toxic exposures under the PACT Act. The Department of Veterans Affairs (VA) has processed 458,659 PACT Act claims since its inception and delivered more than $1.85 billion in benefits. Of this, nearly $215 million has been given to veterans with cancer.

2. Veteran Support Initiatives by the Biden-Harris Administration: Efforts to eliminate veteran homelessness have led to housing over 40,000 veterans last year, with an 11 percent decline in veteran homelessness between 2020 and 2022. The administration has prioritized investing in mental health and suicide prevention. This includes a comprehensive public health strategy, expansion of mental health screenings, and increased hiring of mental health professionals. Securing jobs for veterans has been a focus, with the aim of supporting roughly 200,000 service members transitioning from the military each year. Initiatives include connecting veterans to apprentice programs and a new transition assistance grant program.

3. Additional Support for Veterans and Caregivers: President Biden signed an Executive Order to reduce bureaucracy and allow veterans needing home assistance the flexibility to select their caregivers. This also included the expansion of caregiver support programs and mental health services for caregivers. Another Executive Order signed at Fort Liberty in North Carolina emphasizes the economic security of military and veteran spouses, caregivers, and survivors. It represents a comprehensive set of actions to bolster their economic stability.

If you are a veteran, visit www.va.gov/PACT or go to your local VA hospital to see if you are eligible for PACT Act benefits and services.

For a state-by-state breakdown of PACT Act data, click here.

By Caroline Colvin - Per LegalShield’s August 2023 report on estate planning, 50% of U.S. workers surveyed could not confirm whether their employer offered aid in this area of life planning as a benefit.The report also revealed that a gap in understanding exists among workers regarding what benefits packages entail. While 42% said their company doesn’t provide estate planning benefits and 8% said it does, the rest of U.S. workers surveyed could not confirm whether their employer offered voluntary estate planning benefits. Read Full Article…

VBA Article Summary

1. American Will Preparedness & Employer Influence: A significant number of Americans do not currently have a will. A vast majority, however, would be more inclined to create one if their employer provided assistance in the process. Despite various life events such as health concerns, increase in wealth, marriage, or house purchases motivating many to make a will, employer-offered benefits still play a crucial role. Nearly 60% of participants mentioned they'd make a will if their employer offered relevant legal services.

2. Knowledge Gap on Benefit Packages: There's a noticeable disparity in employee understanding of the benefits their companies offer, especially regarding estate planning. Only 8% confirmed that their company offers estate planning benefits, while 42% believed their company didn't offer such benefits. A considerable portion of the U.S. workers surveyed were unsure about their employer's stance on voluntary estate planning benefits.

3. Shift in Benefit Conversations Post-Pandemic: The COVID-19 pandemic has broadened the discussions around employee benefits. Focus has notably shifted to mental health, long-term COVID implications, and viewing benefits not just as perks but vital tools for employee attraction and retention. Ashley Higginbotham, an attorney associated with the report, emphasizes the importance of early estate planning, suggesting that it's never too premature or belated to address this crucial aspect of financial planning.

The U.S. financial wellness benefits market is expected to grow at a CAGR of 20.49% from 2022 to 2028.

By Reportlinker.com - Increasing Growth in Early Wage Access. Employers are finding new ways to engage their employees and deliver value through new solutions, partnerships, and early access to their earned wages more than ever before. Read Full Article…

VBA Article Summary

1. Importance of Financial Wellness:

   Rising Debt & Financial Fragility - A significant portion of the U.S. population, nearly 80%, lives paycheck to paycheck. A minor imbalance between earnings and expenses can rapidly lead them into debt, especially with common late fees like bank overdrafts and late rent payments. Such financial strains amplify the need for financial wellness, especially considering that many Americans have limited savings for emergencies.

   Integration with Existing Benefits - Financial wellness is now viewed as a natural extension of health-based benefits. By integrating financial wellness into the existing benefits framework, employers can maximize the overall well-being of their employees.

2. Industry Challenges & Segment Insights:

   Fiduciary Concerns - The litigious environment has made businesses wary of potential legal repercussions, inhibiting the comprehensive implementation of financial wellness programs.

   Market Segmentation - The market is segmented in multiple ways, such as by program (e.g., financial planning, retirement planning), by end-user size (large to small businesses), by delivery method (one-on-one, online, group), by type (consumer vs. employer tools), and by industry (e.g., healthcare, financial services).

3. Competitive Landscape:

   Market Fragmentation - The U.S. financial wellness benefits market is scattered with a mixture of established vendors and innovative start-ups that are reimagining financial services.

   Key Players - Some of the prominent entities in this domain include Bank of America Merrill Lynch, Financial Finesse, and Mercer. There's also a myriad of other vendors, ranging from those offering unique savings solutions to those providing educational tools to improve financial literacy.

Marketplace Premiums Could Increase by 6% in 2024, Report Shows

By Marissa Plescia - Health insurers are proposing a median premium increase of 6% for Affordable Care Act Marketplaces in 2024, a new analysis shows. Most proposed premium increase rates from insurers are between 2% and 10%. The analysis was published last week by KFF. The organization collected the proposed rates from 320 insurers from RateReview.Healthcare.gov. It also collected 58 insurer actuarial memoranda from state rate review sites. Read Full Article…

VBA Article Summary

1. Rising Costs of Healthcare Services and Medications: The primary factor behind the increasing premiums in ACA Marketplaces is the rise in costs of healthcare services and medications. These increases are attributed to the growing 'unit' cost of services from hospitals, physicians, and pharmaceutical companies, as well as increased healthcare utilization by members. The use of services, especially from physicians and pharmaceutical companies, like diabetes and weight loss drugs, is a significant driver.

2. Impact of Covid-19 on Healthcare Utilization and Premiums: Healthcare utilization took a dip in 2020 due to the Covid-19 pandemic but has been on the rise since. The end of the Public Health Emergency (PHE) brings with it uncertainty regarding the effect on premiums. For instance, plans can now charge for Covid-testing, potentially reducing insurer costs. Conversely, commercialization of the Covid vaccine will increase costs for insurers. Overall, most insurers anticipate a decrease in pandemic-related costs by 2024, exerting a small downward effect on premiums.

3. Effects of Policy Changes and External Factors: The cessation of the Medicaid continuous enrollment requirement during the Covid-19 health emergency led to the disenrollment of over 3.8 million people. A portion of these individuals may enroll in ACA Marketplace plans. Some insurers believe that this could result in a sicker demographic enrolling, potentially driving premiums up. However, most marketplace enrollees are subsidized and won't bear the full brunt of premium hikes, though these increases can impact federal spending and highlight broader health cost trends in 2024.

The latest trend in employee retention? Even more pet benefits

By Dawn Kawamoto - As HR leaders struggled with recruiting and retention in recent years, many set their sights on expanding benefits for employees. With the added challenge of getting talent to come back into the office today, experts say, HR needs to double down on innovation in benefits—and one way to do that is to broaden the focus to include pets. Read Full Article…

VBA Article Summary

1. Surge in Pet Adoptions and its Impact on the Workplace: During the pandemic, there was a significant increase in pet adoptions, with nearly 1 in 5 households, or 23 million households, adopting a cat or dog. As a result of prolonged work from home scenarios, employees have become accustomed to being with their pets and may now be hesitant to return to traditional work settings. They are even looking for jobs that offer more pet-friendly environments and benefits.

   2. Growing Demand for Pet Benefits Among Employees: According to Nationwide, a third of pet owners would prefer to stay with an employer that provides pet benefits. The importance of these benefits is especially pronounced among Gen Z and millennials, with 49% and 45% respectively placing high importance on them. Desired pet benefits include: Pet insurance (40%), Paid time off for pet care (29%), Pet-friendly offices (27%), and “Paw-ternity” or leave for new pet adoption (14%).

   3. Creating a Pet-Friendly Work Environment: The benefits of a pet-friendly workplace can include improved employee morale, productivity, and retention. For instance, a study by CESAR found that 84% of employers observed a positive change in workplace culture and retention when dogs were welcomed. Employers looking to incorporate pet-friendly policies need to address potential challenges, such as employee allergies or concerns about pets. Solutions can include designating specific zones as pet-friendly and ensuring that the company's insurance covers potential pet-related incidents. To start, companies can test the waters with initiatives like "Take Your Dog to Work Day" or introduce colored leash systems to signify a pet's approachability.

Biden’s health care wins are being undone — and at the worst possible time

By Adam Cancryn and Megan Messerly - The U.S. is dismantling one of the last major pillars of its Covid-era safety net. For President Joe Biden, the timing couldn’t be worse. States across the country, both blue and red, are purging their Medicaid programs of millions of low-income enrollees for the first time in three years, after a pandemic policy meant to prevent vulnerable people from suddenly losing health coverage expired earlier this spring. Read Full Article… 

VBA Article Summary

1. Mass Terminations of Medicaid: Nearly 4 million Americans have been cut off from Medicaid over a span of three months, predominantly due to paperwork discrepancies. Projections estimate that this number could surge to 15 million by the same time next year. These reductions in coverage represent the largest reshuffling of health insurance since the inception of Obamacare. This move comes at a time when COVID-19 cases are on the rise and as President Biden is launching his reelection campaign.

2. Origins and Impact on States: In early 2020, Congress halted the yearly renewal requirements for Medicaid recipients to ensure that low-income Americans would maintain insurance during the pandemic. However, after the protection ended in April, states began reassessing their Medicaid enrollment. As a result, states like Florida and Texas have removed hundreds of thousands from Medicaid. Arkansas has seen over 300,000 people, including 108,000 children, lose their coverage. Many of these disenrollments are due to paperwork issues rather than legitimate ineligibility.

3. Political Ramifications and Concerns: The termination of Medicaid coverage is likely to counteract the progress made on health coverage and poverty, challenging the Biden administration's narrative of bettering the lives of the working class. Despite efforts by the Biden administration to ensure states correct these issues and minimize losses, senior Democrats express growing frustration. The repercussions of these terminations may have broader political implications, as there's evidence suggesting that a loss of Medicaid coverage is linked with reduced voter turnout, particularly in crucial swing states.

How job & wage growth is affecting workers' comp

By Steve Hallo - The U.S. labor market continues to show strength, with employment increasing an average of 200,000 jobs a month during the second quarter, which is above the average pre-pandemic growth of around 150,000 jobs, according to the latest quarterly economic briefing from the National Council on Compensation Insurance (NCCI). Read Full Article… 

VBA Article Summary

1. Wage and Labor Market Dynamics: Wage growth has moderated but remains above pre-pandemic levels, with average hourly earnings increasing by 4.4% compared to the same period in 2022. The tight labor market is persisting, which has been indicated by the National Council on Compensation Insurance (NCCI).

2. Workers’ Compensation Premiums: A combination of robust wage and job growth has led to an increase in workers' compensation premiums. The Insurance Information Institute (Triple-I) has noted this trend, while S&P Global highlights a 4.3% increase in direct premiums earned for workers' comp in the first quarter of 2023. Additionally, the direct loss ratio has decreased by 2.3 percentage points.

3. Economic Outlook and Potential Recession: Although there are concerns about a possible recession, NCCI suggests that key indicators like strong employment in the construction sector and consistent manufacturing growth point towards economic stability. Manufacturing and construction, being early indicators of economic demand, show resilience. However, NCCI predicts a slowdown in economic growth due to a potential decline in household spending and the exhaustion of pandemic-era savings.