Walgreens's choice affects about 160,000 workers, according to reports. The new exchange is operated by Aon, a London-based employee benefits consultant, and is expected to enroll a total of 600,000 patients within a year.
On a private exchange, workers choose from a variety of health plans and pay using a subsidy from their employer. Any difference in cost is paid by the consumer.
The model is attractive to employers because it makes healthcare costs more predictable.
Walgreens's employees can expect to pick from 25 plans on the exchange as opposed to four on the old system, Bloomberg reported. The company expects its subsidies to roughly equal what workers previously received for their premiums.
Walgreens is one of the many healthcare interests currently educating the public about ObamaCare.