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Retirees warn of steep Plan 1 rate increases; board to study subsidy options

Health Service Board · August 8, 2013
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Summary

Retiree representatives and individual members urged the Health Service Board to address projected large rate increases for Plan 1, citing examples and urging subsidies to keep the city-owned plan viable; board committed to study options and scheduled further consideration in December and in September outreach sessions.

Retirees and active members urged the San Francisco Health Service Board to halt what they described as potentially dramatic increases in Plan 1 premiums, warning that higher costs would drive members out of the city-owned plan.

Claire Zavonski, representing SEIU West Bay retirees and a former board member, told the board she was alarmed at projected rate increases in the Plan 1 memo and recommended the board consider subsidizing Plan 1 "perhaps... at maybe 50%" to stabilize rates and preserve the plan. "I think these rates will absolutely scuttle the plan," Zavonski said, citing examples in the packet that showed sharp increases in later years.

Dennis…

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