Last week, a flier announcing the May Benefit Choice period was mailed from the state of Illinois Central Management Services, which administers health coverage for state employees. It included information at the bottom of page 5 about the possibility that U. of I. employees would be required to pay retroactive increases to their insurance premiums, depending on the outcome of an ongoing legal dispute pending before the Illinois Labor Relations Board. The potential retroactive costs are unknown at this time and will remain unknown during the Benefit Choice period, during which time employees must select a health plan.
It is CMS’ position that because of the pending legal dispute between the state and the state AFSCME bargaining unit, premium rates effective July 1, 2016, cannot be finalized. Therefore, the information from CMS about the premium rate structure contains current (fiscal year 2016) premium information, not the expected revised costs for fiscal 2017. The CMS information also advises that upon resolution of the legal dispute, premium increases could be applied retroactively to July 1, 2016. It is unknown when a decision by the labor board will be issued; it could be several months into the new fiscal year. While still unknown, media reports suggest that employee-paid premiums may increase significantly for fiscal 2017.
The state has proposed introducing additional plans once the legal dispute is resolved. The details of those plans and their corresponding premiums are also unknown. It is likely that a second Benefit Choice period would be conducted, if and when those plans are introduced.
Through the Office of Governmental Relations, the university has asked that the state reconsider its position to collect retroactive premiums and instead only begin charging any new premiums after a second Benefit Choice period. This would be after employees could consider the full range of new plans and any associated new costs.
Employees are urged to read all CMS materials closely. The University Office of Human Resources will keep employees advised of any updates.
Benefit Choice Information Sessions
There are two remaining Benefit Choice information sessions for the Urbana campus. The sessions will provide Benefit Choice information and allow employees to ask questions. Registration is not required.
- May 11, 10-11:30 a.m., Beckman Institute auditorium, Room 1025
- May 19, 10-11:30 a.m., Temple Hoyne Buell Hall, Room 134
- of I. employees are reminded that if they wish to make changes to their health, dental, state optional life, dependent coverage or re-enroll in the flexible spending plans, these changes must be made using NESSIE, the university’s online self-service benefits application. All changes must be made by midnight May 31 and will be effective July 1.
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