DRAMATICALLY INCREASED monthly insurance payments may be a dose of bitter
medicine for University of Illinois employees trying to watch both their budget
and their health.
STILL, STATE of Illinois health plan costs for employees remain below the national
average.
ACCORDING TO an Aon Hewitt report, the 2012 national employee-only monthly premium
was $183 and is expected to rise to $198 in 2013. Monthly healthcare premiums
for all State employees will remain well below that mark, except for employees
earning over $100,000 annually; these highest earners will pay premiums in line
with the national average. (See the NESSIE website http://illinois.edu/blog/view/1418/92394?count=1&ACTION=DIALOG&sort=asc
for charts showing FY2014 employee and dependent monthly premiums for both
managed care and quality care programs.)
A SERIES of unique issues
over the last several years have insulated State employees in Illinois
employees from the rising costs of healthcare.
“THE LAST two years, due to
contracting issues the State had in procurement of managed care plans,
emergency contracts were in place and rates essentially held flat,” said Human
Resources Administration Director Katie
Ross, University Human Resources. “Now we see the aggregated impact: The
new rates reflect what we would have seen incrementally. All at once, it’s hard
to swallow.”
THE TOTAL monthly premium
increase from July 2007 to July 2012 was only $12 for both plans; they
increased $6 per month in Fiscal Year 2009 and again in Fiscal Year 2010, but
remained the same in 2011, 2012, and 2013.
 |
| Click image for larger picture. |
EMPLOYEE MONTHLY premium rates are determined through State-wide bargaining by the
Illinois AFSCME (American Federation of State, County, and Municipal Employees)
and extend to all State employees on the State Employee Group Insurance Plan.
Monthly premium rates, published May 1, are priced by a series of six salary
bands, with employee premiums increasing with salary income. For example, an
employee earning up to $30,200 will pay $68 for managed care or $93 for quality
care each month; an employee earning between $75,901 and $100,000 will pay $137
for managed care or $162 for quality care each month.
EMPLOYEES CAN also choose to provide health insurance for dependents. Choices again include managed or quality
care, and monthly costs depend on the number of dependents being insured.
Employees insuring dependents pay both the employee premium and the dependent
premium each month.
THE STATE also pays a
portion of health care costs for each employee; generally the amount is
considerably larger than the monthly premium paid by employees. The State has
not yet published these amounts for the upcoming fiscal year, but Ross expects
to receive this information soon.
THE BENEFITS choice period concludes May 31; plan and fee changes are effective July
1.
DEDUCTIBLES, CO-PAYMENTS and out-of-pocket maximums for all healthcare
plans also will increase July 1.
“THIS YEAR, more than ever, employees need to read the material from CMS and the Benefit Choice Options booklet,” said
Ross. “Especially if they traditionally don’t make a change. They need to look
at premium rates, the plan changes, and the “What You Should Know” notes in the
Benefits Choice Options booklet. I
encourage everyone to look at this information, even if they haven’t in the
past.
“SELECTION OF health insurance is a very personal issue,” Ross continued. “CMS has
benefit fairs around the city and in the suburbs. The University is putting on
employee information sessions on each campus. I encourage employees to attend
and make the best decision for themselves and their families.”
FOR DETAILS about employee benefits information sessions see NESSIE: http://illinois.edu/blog/view/1418/92277?count=1&ACTION=DIALOG&sort=asc.
SEND AN email to benefits@uillinois.edu
or contact UPB Benefits Services at Chicago (312) 996-6471 with additional
benefits questions.
UNIVERSITY RETIREES also are experiencing a health-care cost increase.
Retirees, or those planning to retire this year, should contact SURS directly.
No comments:
Post a Comment