CalPERS OKs 9.5 percent health premium hike, but Medicare recipients are spared

Posted 7 years 38 days ago ago by newspaper editor    1 Comments  -1 Likes Like Dislike

Sacramento Bee June 13, 2012
 

CalPERS today approved a roughly 9.5 percent increase in health insurance premiums.
The pension fund's governing board voted unanimously to approve the increase, which will cost the average CalPERS member another $30 a month in premiums. The increase takes effect Jan. 1.
It represents one of the biggest increases in years for CalPERS, which covers 1.3 million public workers and retirees and is one of the largest purchasers of the health care in the nation.
Board member Howard Schwartz said CalPERS is fighting to keep health care premiums in check, but is up against powerful forces.
"We like all health care purchasers are wrestling with the problem," he said.
One problem is a persistent under-funding of Medicare and Medi-Cal. That prompts health care providers to shift costs "to large purchasers like us," Schwartz said.
The increase at CalPERS is considered noteworthy because of the pension fund's size and influence. Health care experts said it's a sign that health care inflation continues to work its way through the economy.
The 9.6 percent hike is slightly higher than what many purchasers are experiencing, but may reflect CalPERS' somewhat older than usual member population.
CalPERS "has a population that's a little older and a little sicker than the general population," said Anthony Wright of the advocacy group Health Access California. "It's not young kids."
 

You can find the CalPERS press release at:

http://www.calpers.ca.gov/index.jsp?bc=/about/press/pr-2012/june/committee-recommend-2013-rates.xml


1 Comments



You need to login to comment.

  • Watercolor Artist 7 years 26 days ago
    Anthony is also looking at who has the money. $30 a month is not to bad, but what other increase are planned for the future. Looks like was are paying for the Medi-Cal program as well. Even though they say there is under funding for the Medicare. We had paid into Medicare and still do. They take out from our Social Security check for Medicare by at least $150 per month. Luckily CalPERS balances that back into our State retirement check. CalPERS has been good to us, but Kaiser and some of the other HMOs and PPOs want more from us. They have taken on Medi-Cal for more money from the State and Federal government, who put on a restriction on how much they can charge. And, these HMOs and PPOs have us State employees pay the difference. Not only does it make it more difficult to get service at Kaiser because of all these welfare Medi-Cal patients, but we also have to help pay for their service besides our own service. Free medicine to the poor and charge all the expenses to the medium class hard working people. Although, some places it is worse. I hear that the Electrician Union members pay around $500 per month for their Kaiser Health Care.

    Reply

CSR is the largest, most experienced organization exclusively representing state government retirees!

 

Find Us

California State Retirees
3000 Advantage Way Sacramento, CA 95834

Contact Us

888.808.7197
916.326.4292
csrinfo@calretirees.org
Fax 916.326.4201

Follow Us

 
 

Hear From Us