1 / 8

PEB and K-12 Baseline

Page based on Title Slide from Slide Layout palette. Design is 1_Title with photo. Title text for Title or Divider pages should be 36 pt titles/28 pt for subtitles . PRESENTER box text should be 22pt. DATE text box is not on master and can be deleted. The date should always be 18 pts.

lenora
Télécharger la présentation

PEB and K-12 Baseline

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Page based on Title Slide from Slide Layout palette. Design is 1_Title with photo. Title text for Title or Divider pages should be 36 pt titles/28 pt for subtitles . PRESENTER box text should be 22pt. DATE text box is not on master and can be deleted. The date should always be 18 pts. PEB and K-12 Baseline Presented by Tim Barclay Principal & Consulting Actuary October 5, 2011

  2. Purpose of this PowerPoint and Exercise The straw man proposal of moving K-12 into PEB was developed for discussion purposes only Our goal, through review of this scenario, is to elicit feedback identifying critical issues that need to be considered in the formation of any new consolidated K-12 health benefits system

  3. Page based on Title and Text from Slide Layout palette. Design is 01_Title with photo. Goals of the Discussion Subtitles are Part of Title Field, then Modified Manually (see next page) • Establish an accurate representation of the functionality of the K-12 system, particularly in comparison to PEB • Discuss a Mandatory K-12 move to PEB scenario • Same rules as the current voluntary PEB participation • Assume no opt-out in this initial scenario • Clearly identify the critical issues associated with this approach • Fatal flaws • Problems • Will establish the direction for the next phase of the design

  4. Page based on Title and Text from Slide Layout palette. Design is 01_Title with photo. Similarities Subtitles are Part of Title Field, then Modified Manually (see next page) • Active enrollee counts near 110,000 for each program • Expenditures relatively comparable ($1.2B) • Employee contributions similar • 16% for K-12 from HayGroup study • 15% prospectively for PEB • (not entirely apples to apples, but in the same ballpark) • Core coverage offered is similar • Collective bargaining is an important part of the process

  5. Benefit Offerings • Range of Medical Benefits (defined by actuarial value) • PEB has fairly narrow range of plan offerings (5%) • K-12 has a much wider range (40%) • Current K-12 open enrollment showing a shift to leaner plans • Vision Benefit • A component of the medical plan in PEB • Variety of stand-alone plan offerings in K-12 • Dental, Life and LTD Benefits • Greater variation in K-12 • In K-12 non-medical benefits are mandatory, if offered to a particular bargaining unit

  6. Eligibility • PEB • 0.5 FTE for active state employees • For Political Subdivisions, employer defined • Policy change as of 1/1/10 • K-12 • Varies by district and bargaining group • FTE may be 1440 hours or hours per week • Many employees eligible with <0.5 FTE status

  7. Page based on Title and Text from Slide Layout palette. Design is 01_Title with photo. Employee Contributions Subtitles are Part of Title Field, then Modified Manually (see next page) • PEB Active Employees • Defined by collective bargaining as 15% as of 1/1/12 • Does not vary by FTE status • PEB Political Subdivisions • Defined by local district • K-12 • Generally a function of FTE status (pro-rated) • Non-medical benefits funded before medical • Locally bargained with pooled funding • Significant variance between bargaining units and subscriber tiers

  8. Page based on Title and Text from Slide Layout palette. Design is 01_Title with photo. Funding Subtitles are Part of Title Field, then Modified Manually (see next page) • PEB • $850 state funding rate for state active employees • For active employees, state funding and employee contributions are the only funding sources • K-12 • $768 state funding rate for a formula driven FTE count • A combination of employee contributions, local levy, federal and other sources make up the difference

More Related