Friday, October 30, 2020

Three CalPERS Healthplans Are in a 'Death Spiral.’ Prices About to Skyrocket

 This is from the Sacramento Bee:  

Three of the best health plans California state workers and retirees can buy are speeding toward collapse, according to CalPERS insurance experts. ...

PERSCare, a broad-network PPO that covers about 93,000 people, will cost $1,112 per month next year for a single state worker. Projections show the plan would cost $1,841 per month by 2026.

Anthem Traditional HMO, with about 18,000 policyholders, will cost $1,200 per month next year. It would cost $2,202 by 2026 without changes, according to the projections.

Blue Shield Access+, a broad-network HMO covering about 89,000 people, would jump from $939 to $1,302 per month.

State workers don’t pay those totals. They pay a portion spelled out in union agreements. For the 2021 plans, the state is contributing $607 to $645 per month for most workers. Workers are responsible for the rest. SEIU Local 1000 members and state attorneys receive another $260 per month.

CalPERS is the second largest purchaser of health insurance after the federal government.