The Affordable Care Act as Retiree Health Insurance: Implications for Retirement and Social Security Claiming

TitleThe Affordable Care Act as Retiree Health Insurance: Implications for Retirement and Social Security Claiming
Publication TypeReport
Year of Publication2016
AuthorsGustman, AL, Steinmeier, TL, Tabatabai, N
Series TitleNBER Working Paper Series
Document NumberWorking Paper 22815
Pagination1-55
Date Published11/2016
InstitutionNational Bureau of Economic Research
CityCambridge, MA
KeywordsAffordable Care Act, Health Insurance, Older Adults, Retirement Planning and Satisfaction, Social Security
Abstract

Using data from the Health and Retirement Study, we examine the effects of the Affordable Care Act (ACA) on retirement. We first calculate retirements (and in related analyses changes in expected ages of retirement and/or Social Security claiming) between 2010, before ACA, and 2014, after ACA, for those with health insurance at work but not in retirement. This group experienced the sharpest change in retirement incentives from ACA. We then compare retirement measures for those with health insurance at work but not in retirement with retirement measures for two other groups, those who, before ACA, had employer provided health insurance both at work and in retirement, and those who had no health insurance either at work or in retirement. To complete a difference-in-difference analysis, we make the same calculations for members of an older cohort over the same age span. We find no evidence that ACA increases the propensity to retire or changes the retirement expectations of those who, before ACA, had coverage when working but not when retired.

URLhttp://www.nber.org/papers/w22815.pdf
DOI10.3386/w22815
Citation Key8837