RetireeMedical InsuranceUpdate课件.pptVIP

Retiree Medical Insurance Update Current Issues …The Retiree Perspective Current Issues …The Employer Perspective Employer Trends in Offering Retiree Benefits * * March 10, 2003 Sue Autry, Human Resources Manager Steve Hilfers, Director of Finance Marisa Walker, Principal Analyst Significant upsurge in medical healthcare costs in recent years of 15%-30% per year Impact on employees/retirees through cost shifting: Higher deductibles Higher co-pays, co-insurance Higher out-of-pocket maximums Higher premiums Increase in share of premiums Future uncontrolled escalation of healthcare costs Significant increase in medical healthcare costs Growing retiree population Failure of Medicare to offer prescription drug coverage Decreasing Medicare reimbursements GASB consideration of employer accounting for retiree health coverage liability Source: Kaiser/HRET Survey of Employer-Sponsored Health Benefits: 1999-2000 and KPMG Survey of Employer-Sponsored Health Benefits: 1988, 1991, 1993, 1995 for Large Employers (1,000-4,999 workers) Industry Trends in Offering Retiree Benefits Source: Kaiser/HRET Survey of Employer-Sponsored Health Benefits 2001 (Large Firms 200 or more workers) Comparison City Retiree Benefit Trends - 2002 Survey 94% have a medical coverage program for retirees 28% subsidize retiree medical coverage City of Colorado Springs Retiree Profile City of Colorado Springs Sworn Retirees On City Medical Plan PreMedicare City Retirees: Health Insurance Continuation Options SWORN RETIREES Remain on City health insurance plan Obtain health insurance coverage elsewhere CIVILIAN RETIREES Join PERA health insurance plan Obtain health insurance coverage elsewhere City Health Insurance Subsidy Levels Fully paid (Eligible to retire before 1/1/1979) Partially paid - $91.40 per month (Eligible to retire on or after 1/1/1979 and hired before 8/1/1988) No subsidy (Employees hired on or after 8/1/1988) Sworn Retiree Subsidy Level Sum