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October 26, 2012 at 09:20 AM
Executives at Aon (NYSE:AON) made it clear today that they think private U.S. health insurance exchanges will be important.
Gregory Case, the president of Aon, talked about Aon’s corporate exchange programs several times during a conference call the company held to discuss its third-quarter earnings with securities analysts.
Aon, a company that provides “human resources solutions and outsourcing services,” among other services, is reporting a total of $210 million in net income for the latest quarter on $2.7 billion in revenue, up from $208 million in net income on $2.7 billion in revenue for the third quarter of 2011.
The human resources unit is reporting $80 million in operating income for the quarter on $971 million in revenue, up from $61 million in operating income on $957 million in revenue for the comparable quarter in 2011.
Some of the growth in HR operating income came from restructuring the Aon Hewitt consulting unit, the company said in a discussion of its results.
During the call, Aon executives said the company has invested heavily in developing a health insurance exchange, or Web-based health insurance supermarket, program. The company is expecting its exchange program to serve employers with 100,000 enrollees in 2013.
The Patient Protection and Affordable Care Act of 2010 (PPACA) calls for federal and state agencies to set up government-managed exchanges for individuals and small groups in every state starting in 2014.
Benefits specialists at Aon and elsewhere have said that they believe that many large employers, and even some individuals and small groups that could be eligible for the PPACA exchanges, could be interested in privately run exchanges.
