An overwhelming majority of employers responding to a recent employer survey byKansas City-based Lockton, the world's largest privately held brokerage and consulting firm, say 2010's health reform law is increasing their costs and administrative hassles. Employers say the law is making group health insurance more expensive and more burdensome.

More than 40 percent of Lockton Benefit Group's client-companies responded to the confidential survey in which employers were asked a dozen questions to gauge their levels of concern about the impact of many aspects of the health reform law.

The fact that 80 percent of responding employers showed high levels of concern about the additional administrative obligations of health reform did not surpriseEdward Fensholt, director of Lockton's Compliance Services Division. "There are more notices to employees, additional plan summaries, a variety of reports to federal authorities, including W-2 reporting of health plan values, and significant penalties for noncompliance," Fensholt said. "Just the sheer amount of work and associated dollars added are significant to many employers. Federal regulators are trying to minimize the burdens—they're doing a good job of soliciting input from employers—but the obligations remain a significant challenge."

Pleaseclick hereto review the results of Lockton'sMay 2011Employer Health Reform Survey.