By NextBestFitPhase 3: Waves 2 & 3: working-age adults · Step 3.1
Enroll adults 45–54 (Year 2) and 35–44 (Year 3)
Start of Years 2 and 3 · UHA; employersDiscuss this step
Pros & cons of this step
Pros
- +Gradual: the claims system scales in steps.
- +Employer pools get younger and cheaper for the remaining workers.
Cons
- −Families split across systems for up to two years.
- −Insurer layoffs accelerate in these years.
- Smoothness vs. the confusion of mixed families.
Trade-off behind each system change
- Mid-transition employer plan poolsRemaining premiums fall; small employers' pools become volatile.
- Transition buy-in for people not yet eligibleFills gaps during the phase-in; sicker people will buy in first (adverse selection), raising the buy-in's cost.