Board Reviews Proposed Changes to STRS Ohio Health Care Program for 2015 and 2016
During the April meeting of the State Teachers Retirement Board, STRS Ohio staff presented the Retirement Board a two-year health care plan for years 2015 and 2016. The recommendations continue building upon the multi-year strategic plan that began with the board’s December 2011 approval of a strategic health care program framework.
A key component of that framework is to extend the projected solvency of the Health Care Fund to 65 or more years by 2025. Staff recommended the changes outlined below with the board’s strategic framework in mind. The board will be asked to vote on these items at its May meeting.
Proposed Changes to STRS Ohio’s Health Care Program for 2015
Reducing the subsidy multiplier by 0.1% to 2.2% per year of service — continues the phased-in reduction that the board began in 2012. A retiree with 30 or more years of service would receive a subsidy in 2015 of 66% of the total cost of the plan. The 2014 subsidy for a retiree with 30 years of service is 69%.
Aetna Medicare Plan changes
In-network coverage changes include: reducing deductible to $300 from $500; reducing primary care physician office visit copay to $15 from $20; increasing specialist physician office visit copay to $25 from $20.
Out-of-network coverage changes include: increasing out-of-pocket limit to $2,000 from $1,500; increasing specialist physician office visit copay to $50 from $40; and increasing coinsurance percentage to 6% from 4%.
Medical Mutual Plus and Basic Plan changes
Include two in-network primary care visits at $20 each in the Basic Plan.
Increase deductible and coinsurance out-of-pocket limits as follows:
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