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PEP board approves plan‑design changes to slow migration and save millions
Summary
The Public Employees Benefits Program board approved a package of plan‑design changes (Scenario 1, with an amended out‑of‑pocket maximum alignment) intended to reduce migration into the low‑deductible PPO and produce multi‑million‑dollar savings. The motion passed after a friendly amendment; one member voted no.
The Public Employees Benefits Program board on Dec. 12 approved a set of plan‑design changes intended to rebalance benefits across the three main plans and slow the mass movement of higher‑need members into the low‑deductible PPO.
The board approved “Scenario 1” — which introduces a deductible for the low‑deductible PPO and realigns out‑of‑pocket maximums so the CDHP and the low‑deductible PPO share the same in‑network exposure — after a friendly amendment to set the CDHP out‑of‑pocket maximum equal to the LDPPO level. Jennifer McClendon moved the final, amended motion; Wayne Harper…
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