Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Member Cost Impact topic
No spam. Unsubscribe anytime.
Staff: UMP shift to Part D reduces many retirees' out-of-pocket premium next year by roughly $113
Summary
Agency staff presented detailed slides showing how switching UMP to a Part D benefit and the CMS demonstration cut monthly subscriber premiums and yielded an estimated $113.58 reduction in what many members would actually pay, with staff citing roughly 40,000 affected enrollees as a planning figure.
Staff presented a side-by-side comparison of 2024 creditable drug coverage and the 2025 UMP with Part D benefit. The slides showed a difference of about $285 between the two bid-rate scenarios before the Medicare explicit subsidy; after applying the $183 explicit subsidy and the CMS changes, the subscriber premium under the revised 2025 benefit is about $419.36 per month instead of the higher alternative for 2025.
Dave (agency staff) emphasized the practical effect on members: "negative $113.58 is the real life experience of what somebody is paying today versus paying tomorrow under this plan." Molly Christie walked through the table showing current 2024 premiums (approximately $533) and the projected 2025 premiums under the new UMP with Part D benefit, noting that the board’s July authorization plus the CMS revision reduced the expected premium substantially.
Staff estimated the order-of-magnitude population affected at about 40,000 UMP enrollees and said they would provide a clearer aggregate-dollar calculation at the next board meeting or in written materials. The board asked staff to prepare member-facing communications showing these comparisons and to report aggregate savings when available.
