The annual Benefit Choice period opened on May 1, when the State of Illinois Department of Central Management Services (CMS) announced significantly increased premiums and other costs for the employee group health insurance plan. The Benefit Choice period is May 1 through May 31, with changes effective on July 1, 2013. Please see below for a list of frequently asked questions to help guide you as you make your FY2014 health plan selection.
Why is the cost of health insurance increasing?
Over the past few years, the State of Illinois has not passed on the rising cost of health insurance to employees. From July 2007 to June 2013 employee insurance premiums have increased only $12. There have been no premium increases during the last few Benefit Choice periods due to contracts and negotiations. Also according to CMS, due to the state’s funding situation and underfunding of healthcare, claim holds for the state group insurance plans will reach $1.8 billion by July 1, 2013, and CMS is taking action to reduce the future cost of healthcare to the state. See the following tables for past health insurance premium amounts for Managed Care Plans (HMOs and OAPs) and the Quality Care Health Plan (QCHP).
Past Monthly Premium Details:
|
Employee Annual Salary
|
FY 2008
|
FY 2009
|
FY 2010
2011
2012
2013
|
Employee MANAGED CARE Premium Increase from July 2007 to July 2013
|
|
$30,200 or less
|
$35.00
|
$41.00
|
$47.00
|
$12.00
|
|
$30,201 - $45,600
|
$40.00
|
$46.00
|
$52.00
|
$12.00
|
|
$45,601 - $60,700
|
$42.50
|
$48.50
|
$54.50
|
$12.00
|
|
$60,701 - $75,900
|
$45.00
|
$51.00
|
$57.00
|
$12.00
|
|
$75,901 - $100,000
|
$47.50
|
$53.50
|
$59.50
|
$12.00
|
|
$100,001 and above
|
$47.50
|
$53.50
|
$59.50
|
$12.00
|
|
Employee Annual Salary
|
FY 2008
|
FY 2009
|
FY 2010
2011
2012
2013
|
Employee QUALITY CARE Premium Increase from July 2007 to July 2013
|
|
$30,200 or less
|
$60.00
|
$66.00
|
$72.00
|
$12.00
|
|
$30,201 - $45,600
|
$65.00
|
$71.00
|
$77.00
|
$12.00
|
|
$45,601 - $60,700
|
$67.50
|
$73.50
|
$79.50
|
$12.00
|
|
$60,701 - $75,900
|
$70.00
|
$76.00
|
$82.00
|
$12.00
|
|
$75,901 - $100,000
|
$72.50
|
$78.50
|
$84.50
|
$12.00
|
|
$100,001 and above
|
$72.50
|
$78.50
|
$84.50
|
$12.00
|
What changes are being made for FY2014?
CMS is increasing all employee and dependent premiums, deductibles, copayments, and out-of-pocket maximums for healthcare, effective July 1. The dental plan deductible will increase. Copays for vision plan eye exams, lenses, and standard frames will also increase. CMS has added a new salary bracket for employee health plan premium cost for those employees with annual salary of $100,001 and above. Page 4 of the Benefit Choice Options booklet contains a complete list of changes: http://www2.illinois.gov/cms/Employees/benefits/StateEmployee/Documents/FY14_State_BCBook.pdf
EMPLOYEE Monthly Premium Comparison:
|
Employee Annual Salary
|
Managed Care FY2013
|
Managed Care FY2014
|
Quality Care FY2013
|
Quality Care FY2014
|
|
$30,200 & below
|
$47.00
|
$68.00
|
$72.00
|
$93.00
|
|
$30,201 - $45,600
|
$52.00
|
$86.00
|
$77.00
|
$111.00
|
|
$45,601 - $60,700
|
$54.50
|
$103.00
|
$79.50
|
$127.00
|
|
$60,701 - $75,900
|
$57.00
|
$119.00
|
$82.00
|
$144.00
|
|
$75,901 - $100,000
|
$59.50
|
$137.00
|
$84.50
|
$162.00
|
|
$100,001 & above
|
$59.50
|
$186.00
|
$84.50
|
$211.00
|
DEPENDENT Monthly Premium Comparison:
|
Health Plan
|
One Dependent FY2013
|
One Dependent FY2014
|
Two or more Dependents FY2013
|
Two or more Dependents FY2014
|
|
BlueAdvantage
|
$80
|
$96
|
$110
|
$132
|
|
Coventry HMO
|
$92
|
$111
|
$130
|
$156
|
|
Coventry OAP
|
$92
|
$111
|
$130
|
$156
|
|
Health Alliance
|
$94
|
$113
|
$133
|
$159
|
|
HealthLink OAP
|
$105
|
$126
|
$149
|
$179
|
|
HMO Illinois
|
$83
|
$100
|
$116
|
$139
|
|
Quality Care
|
$196
|
$249
|
$226
|
$287
|
How do the premiums we are paying for health coverage compare to the national average?
The State of Illinois health plans continue to fall below the national average in cost. Consulting firm Aon Hewitt reported the 2012 national average employee-only monthly premium was $183, and projected it to be $198 in 2013. Source: http://www.shrm.org/hrdisciplines/benefits/Articles/Pages/Health-Premiums-2013.aspx
Does the University have any role in these changes?
No. CMS negotiates the benefit costs with state of Illinois AFSCME bargaining unit. The resulting changes are extended to all other employees under the plan. These changes impact all state employees covered under the State Employees Group Insurance plan, not just University of Illinois employees.
What can employees do to prepare for the increase of health premiums?
Employees need to educate themselves about the health plan options offered and make informed decisions. Benefit Fairs will be held by CMS throughout the State, where employees can talk to representatives from CMS and each health plan. Additionally, the University’s Payroll and Benefits office will be holding multiple Employee Information Sessions on each campus during the month of May.
CMS Benefit Fairs dates and locations (registration not required):
http://www2.illinois.gov/cms/Employees/benefits/StateEmployee/Documents/FY%202014%20Benefit%20Fairs.pdf
Employee Information Sessions offered by University Payroll and Benefits (registration is required): http://apps.obfs.uillinois.edu/Registration/index.cfm?campus=5
Summary of Benefits and Coverage for each health plan to compare plan provisions:
http://www2.illinois.gov/cms/Employees/benefits/StateEmployee/Pages/SummaryofBenefitsandCoverage.aspx
Managed Care Benefit Changes/Comparisons Chart:
http://www2.illinois.gov/cms/Employees/benefits/StateEmployee/Documents/Managed_Care_Changes.pdf
QCHP, Vision, and Dental Benefit Changes/Comparisons Chart:
http://www2.illinois.gov/cms/Employees/benefits/StateEmployee/Documents/QCHP_Changes.pdf
Watch NESSIE for Benefit Choice updates:
https://nessie.uihr.uillinois.edu/
I’m enrolled in the Quality Care Health Plan and I’m concerned with the delay in payment of claims. What should I consider during Benefit Choice?
The State of Illinois is experiencing an unprecedented funding situation, which has significantly impacted the State Employees’ Group Insurance Program. This is expected to continue, even with the increase in healthcare premiums. You may wish to learn more about a Health Maintenance Organization (HMO) or an Open Access Plan (OAP) in your area, and consider whether such a plan would meet your needs. See more information about the Quality Care payment delay at https://nessie.uihr.uillinois.edu/cf/announce/index.cfm?action=NewsDetail&ID=224
If I am an employee who will be retiring soon, or already a retiree, who should I contact with questions about health insurance?
For those who are eligible, health insurance is provided to retirees by SURS. Please contact SURS directly at 800-275-7877.
Questions?
Send an email to benefits@uillinois.edu or contact UPB Benefits Services at:
