Teachers, state employees and retirees on Georgia's State Health Benefit Plan can expect a slight increase in their insurance premiums next year, although options in the program will remain relatively stable for many of the plan's 650,000 members.
The final 2017 rates for the $3 billion program were approved Thursday by the state Board of Community Health. They show that, on average, premiums will increase on average about 2.5 percent, depending on the plan and who is covered. The state is adding an additional Medicare Advantage plan for retirees. Overall, copays, deductibles and insurance providers will largely remain the same.
The program’s rates have generally held steady these last few years after several years of turmoil, as teachers and employees complained that the state raided their plan’s reserves during the Great Recession to pay bills, then jacked up premium costs and cut benefits.
The issue came to a head in early 2014, after the state decided to have just one company — Blue Cross and Blue Shield of Georgia — provide coverage as it also increased out-of-pocket costs to employees and retirees. After howls of protest, Gov. Nathan Deal and state lawmakers added money to the plan to eliminate many of the increases in out-of-pocket costs.
In summer of 2014, the state Department of Community Health then added more companies and plans to the insurance offerings. State officials also forced local school districts to pay more to insure part-time bus drivers and cafeteria workers. The state said such coverage had long been subsidized by teachers, state employees and retirees on the plan.
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