Retirees who receive insurance benefits will be affected by the cost increases proposed by the Public Employees Insurance Agency.
spud terry
“It’s disgusting,” said Spud Terry, 81, president of retirees for the American Federation of State, County and Municipal Employees of West Virginia.
Terry’s anger is fueled by the fact that his expenses have increased while his income has remained the same. “I retired in 1999, and my income is the same as it was in 1999.”
The proposal PEIA is seeking public comment on includes a 12% increase in premiums for retirees in the program. This includes both retirees old enough to qualify for Medicare and some people who retired before they were old enough to qualify.
PEIA’s five-year plan already reflects a 10% increase in retirees, and this proposal would accelerate that. According to the revised five-year plan, the number of retirees could increase gradually by 15% in 2017, 17.5% in 2028 and 20% in 2029.
PEIA is proposing a variety of cost increases, including increased deductions, to close an estimated $113 million budget gap next fiscal year. The cost increases will apply to things like hospitalization, outpatient consultations, and prescriptions.
While labor groups have questioned every aspect of the cost increases, one particular aspect of their concerns is directed at how retirees will absorb higher premiums.
Dale Lee
“This is a big concern,” Dale Lee, president of the West Virginia Education Association, said in an interview with Metro News.
“We have retirees who haven’t had any raises or any increase in their income since they left, and they’re living on essentially a fixed income, and they’re seeing all their other expenses go up, and now they’re “We want to continue to improve the health of people.” They are the ones who can least afford this. ”
Mr. Lee asked a series of questions at last week’s PEIA meeting, including whether the retiree premium increases could be translated into an overall dollar amount. The answer was $2.6 million for retirees without Medicare and $7.15 million for retirees covered by Medicare.
He also emphasized that growth is expected in the coming years.
“It looks like retirees are really going to be hit in the projected years. Of course, we don’t know what those costs are going to be. We don’t know what health insurance is going to be,” Lee said. spoke. “But I expect the number of retirees to increase by 17.5% in 2028 and 20% in 2029.”
brian cunningham
In response, PEIA Director Brian Cunningham said it was not yet clear what insurance cost trends would be at that point.
“We don’t have a crystal ball right now. There’s a lot of things in flux. The last thing we want to do is end up in the same position that PEIA Active Funds are in right now. That’s why we’re working hard to make sure we’re anticipating premium increases, benefit changes, etc., so we don’t end up in this position again.And if we can reverse the premium increases, We definitely will,” Cunningham said.
Elaine Harris
Elaine Harris, president of the Communications Workers of America, also addressed the impact on retirees.
“Some of our retirees, as you all know, are struggling every month with their payments and other obligations,” Harris told the PEIA Finance Committee.
AARP West Virginia, which has 230,000 members in the state, also expressed concern about the financial impact on retirees.
Galen Miller
“For thousands of our members across the state, who are active or retired educators, school employees, and public servants, the availability and affordability of health insurance continues to be an important factor in their retirement decisions. AARP West Virginia State Director Gaylene Miller said.
“Rising household expenses such as groceries, utilities, and medical bills, as well as prescription drug prices, are taking more and more money out of the pockets of West Virginia’s seniors, many of whom are on fixed incomes. “There is no way to cover living expenses.” Costs are rising due to increases in insurance premiums. ”
PEIA plans to put the plan up for public comment at locations around the state next month.
The hearing will be as follows: Nov. 7, 6 p.m., Beckley-Raleigh Convention Center. Nov. 12 at 6 p.m. at the Holiday Inn Martinsburg. Nov. 14 at 6 p.m. at Highlands Event Center in Triadelphia. Ohio; Virtual Town Hall on November 18th at 6pm. Nov. 19 at 6 p.m. at the Erickson Alumni Center in Morgantown. and Nov. 21 at 6 p.m. at the Charleston Cultural Center.
Spud Terry, an active member of the Retired Americans Alliance of West Virginia, said retired workers are likely too discouraged to make much of a fuss.
“They could do that, but they gave up,” he said of going to a hearing.
Terry concluded that West Virginia’s current legislators have no interest in financially supporting retired state employees.
“You know, we had a chance for a while when we had a lot of Democrats and a lot of Republicans. But they have no chance at all to do anything for retirees. That’s never going to happen.” he said in a phone interview with Metro News.
“I’ve been in the field for 18 years as a volunteer lobbyist, getting people to say, ‘We’ll do this, we’ll do that,’ and the finance chair says, ‘No, you can’t do that.’ And someone else says it can’t be done. ”
marie terry
His wife, Marie, cited practical reasons why many retirees are unable to attend hearings. That’s because it’s difficult to go to evening events.
“Now we’re talking about retired people. We no longer have the vision to drive at night like we used to. And most of those meetings are in the evening, and if we If people have to drive very far or to another part of the county, they’re going to need someone to drive them,” said Marie Terry, 76, also retired. spoke. Member of AFSCME.
Spud Terry jumped on the phone and concluded: “We’re old, we’re sick, our pensions aren’t going up, and social security is only a little bit every now and then, but we can’t help it.” To supplement our income. Hey, do you think people in their 80s and 90s can go out and get meaningful work? no way. Workers who are still young can take on side jobs. Some even take on a third job. But we physically can’t do it anymore.
“And we cannot forgive them for what they are doing to us.”
