Cuts in Store for West Virginia Employee Insurance Program
The head of the West Virginai state employee and retiree insurance program says big cuts in benefits are coming.
Ted Cheatham of the Public Employees Insurance Agency told the organization's finance board Thursday that the cuts are necessary because no additional state funding is expected, and the program's reserve fund is already spent down to the minimum balance.
The Charleston Gazette reports that the board adopted a plan that would cut benefits by nearly $83 million for active employees and about $41 million for retirees, primarily through sharply higher deductibles and out-of-pocket maximums.
The plan for 2016-2017 also would increase premiums by 8 percent for retirees and 3 percent for non-state public workers.