SECTION11. RETIREEHEALTHBENEFITS PRIVATEEXCHANGES • Private exchangeshavereceivedconsiderableattentionoverthelastseveralyears. Theyaretypicallycreatedbya consultingcompany,broker,orinsurer,andaredifferentthanthepublicexchangescreatedundertheAffordableCare Act(ACA).Privateexchangesallowemployeesorretireesfrommultiplecompaniestochoosefromalargernumber of health benefitoptionsthanonefirmwouldgenerallyprovide. Twelvepercentoflargefirmsofferingretireehealth benefitsreporttheyofferbenefitsthroughaprivateexchange,similartothepercentagelastyear(6%)[Figure11.7]. For moreinformationontheuseofprivateexchangesforactiveemployees,pleaseseeSection14. • Thirty percent of large firms offering retiree benefits make a definedcontributionforretireehealthbenefits[Figure11.7]. Adefinedcontributionisasetdollaramountthattheretireecanusetopurchasearetireehealthplantheychoose. The Kaiser Family Foundation and Health Research & Educational Trust / Page 179