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The Impact of the Domestic Partnership Act on Employer Health Care Costs (New Jersey)

Abstract

We offer this memo in response to your concern that the Domestic Partnership Act (DPA) may result in increased costs to New Jersey businesses. New Jersey employers commonly provide certain benefits to employees as part of a compensation package. These include health benefits, death benefits, retirement benefits, survivor benefits, and various leave programs. Some of these benefits cover an employee's spouse and the children of the employee's spouse, as well as the employee. If enacted, the DPA will require that businesses provide similar benefits to employees' registered same-sex domestic partners. It will not increase the eligibility for employees' registered different-sex domestic partners. In this memo, we focus on health care benefits, since the rising cost of health care premiums has been a concern raised by New Jersey businesses.

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