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Board keeps Kaiser plan design unchanged, adopts higher 2024 premiums amid union oppose and debate

San Francisco Health Service System Board · May 25, 2023
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

After a contested discussion and public comment, the Health Service System Board voted 6–1 to keep Kaiser Permanente’s 2024 plan design unchanged (option 3A) and accept the higher premium path rather than staff’s recommended design changes that would lower the premium, prompting union objections and calls for continued engagement with labor.

The Health Service System Board spent substantial time on Kaiser Permanente’s fully insured 2024 renewal, weighing two staff options: adopt Kaiser’s status‑quo plan design (no benefit changes, higher premium) or approve design changes to align Kaiser with other HMOs to lower the premium increase.

Aon actuary Mike Clark explained the tradeoffs and presented two modeled outcomes: a status‑quo renewal that would generate roughly a 12.5% premium increase and a design‑change alternative that would reduce the increase to about 10.86%. Clark said about 4…

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