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´╗┐Alabama education employees could face higher premiums

The Public Education Employees Health Insurance Plan, PEEHIP, provides health insurance for 97,000 active employees and 81,000 retirees.

The board approved a new tiered structure for premiums but with no dollar amounts attached to the tiers. The tiers would be: member only, member plus children, Adidas Boost Grey And Blue member plus spouse and member plus children and spouse.

Among the examples: higher premiums to cover spouses who are not members, higher co pays for office visits and higher co pays Adidas Shoes Climacool Aerate M Sneakers

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for some generic drugs and specialty drugs.

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Employees could face higher premiums and co pays in some cases because the Legislature is not expected to be able to fully close the gap.

action on those ideas.

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1, 2014, officials said Monday.

Unless changes are made, the shortfall in fiscal year 2015 would be about $370 million.

Diane Scott, chief financial officer for RSA, gave a presentation to the PEEHIP board Monday on examples of ways to close the gap.

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Just five years ago, the gap between those numbers was much wider, with 103,000 active employees and 66,000 retirees.

Rising medical costs and prescription drug costs are also factors, as well as an increase in the number of retirees and dependents covered under the plan relative to the number of active employees.

Currently, there are only two tiers. Active employee members pay $15 a month for individual coverage and $162 a month for family coverage.

Retirement Systems of Alabama officials presented the board ideas for changes to PEEHIP that could help reduce the deficit, but did not ask the board to take action on most of the ideas.

Employees Health Insurance Board of Control.

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The program is funded mostly by state tax dollars appropriated by the Legislature and premiums paid by employees.

The state appropriation is based on the number of active employees, which means the relative increase in retirees contributes to the shortfall.

The Legislature will consider the fiscal year 2015 budget during the session that begins Jan. 14. The Education Trust Fund is not expected to have enough growth to fully cover the PEEHIP shortfall.

Funding that has been essentially flat for seven years and mandates of the Affordable Care Act are factors in the shortfall, officials told the Public Education Adidas Team Basketball Shoes 2017

will give you the magnitude of the problem we facing, RSA Chief Executive David Bronner said.

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