SEANC Denied Chance to Push for State Health Plan Cost Saving Measures
Nov 23, 2013
SEANC Legislative Director Ardis Watkins was denied the opportunity before the State Health Plan Board of Trustees today to discuss several proposals on how to save the State Health Plan money that could provide funding for benefit enhancements and assist plan members.
SEANC had a dozen proposals including saving the plan up to $400 million by linking hospital reimbursement rates to a percentage of Medicare reimbursement rates, establishing a self-audit rewards program to reimburse members for finding billing errors and a proposal to reimburse plan members for bank overdraft fees arising from enrollment errors by the State Health Plan and its vendors.
However, we wanted to make sure that you, the members, see all of SEANC's benefit suggestions to improve the State Health Plan.
SEANC stood alone representing all state employees and retirees at the meeting. Watkins noted in her remarks that the State Health Plan is not a gift, "It is a benefit of employment." She pointed out that only one state spends less on health care for its employees than North Carolina – and that’s Mississippi.
The North Carolina Association of Educators did not send a representative to advocate on behalf of their members. However, teacher and SHP trustee Kim Hargett described the State Health Plan saying teachers felt "blessed to have a safety net of health coverage."
SEANC was surprised to learn from Hargett that teachers like wellness surcharges (associated with activities like a health care assessment that if not completed) cost employees money. This is in direct contrast to SEANC members' experiences described to the board by trustee Charles Johnson.
"The average state employee views these wellness surcharges as a choice between eating and paying the rent,” he said. “That's how the average member feels. They want to know why the State Health Plan is sitting on one billion dollars and still hitting employees with surcharges. Until we make it affordable for the worker in his 20s who can’t afford to cover his kids and his wife under the current plan, we're moving backwards. We want the plan to help the average state worker."