A recent Eastbridge survey of employers found that the use ofprivate exchanges continues to be minimal amongall size categories and that a positive correlation remains betweenuse and employer size (with use increasing as employer sizeincreases). Many times, it is the broker who influences theseemployers to adopt the exchange model, and to offer more options totheir employees or to move to a defined contribution approach.

Since brokers are often the ones suggesting an exchange fortheir clients, it makes sense that most employers (74 percent)continue to use a broker for their employee benefits afterimplementing a private exchange. Only 19 percent of theemployers no longer utilize broker services.

While use has been low, employers that have implemented anexchange believe their employees' experience with the private exchange has been positive. Fortypercent indicated the experience was not only positive, but easierthan previous enrollments, and 52 percent said it was positive, butnot significantly different from previous enrollments.