Looks like Connecticut is in some deep stuff. Not only has the state seen large corporations move out blowing huge holes in their already bloated state budget, but now the state is no longer footing the bill for their state-retirees healthcare - and instead will be shifting the burden to them by having them go through Anthem and UHC for MA plans.
Retiree healthcare changes in Connecticut union deal may set bad precedent | Yankee Institute for Public Policy
Connecticut is essentially self-insured when it comes to state retirees, paying out of pocket for 100 percent of the insurance costs for state retiree healthcare. The switch to Medicare Advantage is estimated to save the state $130 million per year.
If the proposed deal is approved by the legislature, all that may change and set a precedent for Connecticut’s future.
The state of Connecticut estimates the cost of retiree healthcare will be $731 million in 2017, surpassing the cost for current employees. That figure is expected to grow to $864 million – $120 million more than current employees – by 2019.
Jared Schmitt, on the budget staff for the Republican caucus, said that because the state is self-insured, taxpayers take on all the risk of paying for those healthcare costs. The Medicare Advantage plan would be administered by United Healthcare, which, along with Anthem Blue Cross Blue Shield, handles the medical insurance for current employees.
Retiree healthcare changes in Connecticut union deal may set bad precedent | Yankee Institute for Public Policy
Connecticut is essentially self-insured when it comes to state retirees, paying out of pocket for 100 percent of the insurance costs for state retiree healthcare. The switch to Medicare Advantage is estimated to save the state $130 million per year.
If the proposed deal is approved by the legislature, all that may change and set a precedent for Connecticut’s future.
The state of Connecticut estimates the cost of retiree healthcare will be $731 million in 2017, surpassing the cost for current employees. That figure is expected to grow to $864 million – $120 million more than current employees – by 2019.
Jared Schmitt, on the budget staff for the Republican caucus, said that because the state is self-insured, taxpayers take on all the risk of paying for those healthcare costs. The Medicare Advantage plan would be administered by United Healthcare, which, along with Anthem Blue Cross Blue Shield, handles the medical insurance for current employees.