NMSU Employees To See 15% Hike In Health Insurance Premiums
TO: All Benefit Eligible Employees
FROM: Rene’ S. Yoder, SPHR – Benefit Services
RE: Changes to the Medical/Prescription Plans
The State of New Mexico Risk Management Division will be making substantial changes to the medical plans for July 2013. Details regarding the changes will be made available during the informational meetings in April. At this time, Benefit Services is able to confirm the following changes:
- A 15% increase in the overall cost of the medical premiums. A copy of the new rates is posted on the Benefit Services website.
- This is a shared cost between employee and employer since NMSU currently pays a portion of the premiums based on the employee’s base salary; however, employees will still see a 15% increase in their cost.
- Rates and plan changes will be effective July 1, 2013 but may change again January 1, 2014.
- The state is moving to a Calendar Year plan design effective January 1, 2014.
- Another enrollment period will be available in the Fall 2013; however we do not have any details regarding what changes will be made or the enrollment process.
- The state has confirmed that deductibles and out of pocket limits will be reduced to half the new amount based on the plan year being shortened to 6 months, from July through December.
- Employees are encouraged to attend one of the informational meetings the state will be holding April 10-12, 2013 to ensure understanding of all changes and the impact to employee coverage.
- New employees that do not sign up during their initial 31 days of employment will not be able to add the medical plan until the next open enrollment period, unless they experience a qualifying event.
- There will be plan design changes (co-pays, co-insurance, deductibles, etc.). A summary of the changes, at a glance, is posted on the Benefit Services website. This is not a complete listing of changes.
- The late enrollment option under the medical plan will no longer be available.
- The Presbyterian High Deductible Health Plan (HDHP) will now be called the New Mexico Health Investment Plan (NM HIP).