With all the stressful news lately, we wanted to remind state and higher education employees of some upcoming good news. Our Executive Director made a motion at a State Group Insurance meeting earlier this year to approve a health insurance premium holiday for all active state and higher ed employees in May.
An insurance premium holiday in May means that active state and higher education employees will not have a health insurance premium deduction in their May 2020 paycheck, the last paycheck in May. This holiday is only for health insurance premiums and applies only to active state and higher education employees who pay into the state plan.
This premium holiday is a result of an over-collection in the plan’s reserve fund. Basically, premiums for active state and higher ed employees were higher than plan expenditures, so the plan administrators are spending down the excess through a premium holiday for those in this particular plan.
TSEA appreciates the support of Senate Finance Committee Chairman Bo Watson, House Finance Chairman Susan Lynn, and state employee elected representative Michelle Consiglio Young, who all voted to approve the holiday.
The last health insurance premium holiday was November 2018.
To read the Insurance Premium 2020 Holiday memo issued by the Dept. of Finance and Administration Commissioner Butch Eley, click here.