Professional Engineers in California Government CalPERS ...

1 Professional Engineers in California Government #6, August 2018 The California Public Employees Retirement System ( CalPERS ) meets each spring with the various health plan providers to negotiate premiums that take effect the following January 1. Recently, CalPERS announced that the average premium in 2019 will go up , the lowest increase in over 20 years. However, the premiums for individual plans vary considerably seven plans will actually see premium reductions, while Anthem HMO Traditional rates are going up by 23%. The state s contribution to your health care premium is set by PECG s current Memorandum of Understanding (MOU). For Unit 9 employees, the state s contribution is based on what is known as the 85/80 formula. In arriving at its reimbursement rate, the state first calculates the weighted average premium for the four plans with the highest participation by state active civil service employees.

2 For 2019, the four most utilized plans are Kaiser, Blue Shield Access+, PERS Choice, and UnitedHealthcare. After determining the weighted average premium of the four most utilized plans, the state then pays 85% of the premium amount for a Unit 9 employee and 80% of the additional premium costs for family members. This is the best health care reimbursement rate in State service. CalPERS 2019 Health Plan PremiumsPECG's 85/80 Reimbursement Formula Best in State Service PECG HEADQUARTERS(916) 446-0400455 Capitol Mall, Suite 501 Sacramento, CA 95814 PECG LOS ANGELES(818) 500-9941215 N. Marengo Avenue, Ste 185 Pasadena, CA 91101 PECG SAN FRANCISCO(415) 861-5720100 Pine Street, Suite 750 San Francisco, CA 94111 PECG INSURANCE INFO(415) - (916) 446-0489LA - (818) 247-2348SF - (415) 861-5360 VISIT PECG ON THE @PECGPECG TOLL FREE NUMBERSS acramento(800) 338-1480 Los Angeles(888) 980-7324 San Francisco(844) 350-7324As shown in the tables inside this Informer, in 2019 the state s monthly contribution according to the 85%/80% formula will increase to $620 for employee only, $1,206 for two-party, and $1,555 for family coverage.

3 If the premium for the plan you select is higher than that, you would pay the difference each month. Please carefully review the monthly health plan premiums on the following pages to determine the impact on you and your you want to make a change in your plan provider, there will be an open enrollment period from September 10 to October 5. Prior to that, CalPERS will send a packet of informational material to you and all and managers are covered by what is known as CoBen. The state makes a contribution which the individual can then apply to health, dental, and vision premiums. As this is written, the state s CoBen contribution has not yet been determined. The Dental Plan premiums have also not yet been announced for next year, but typically the change in employee contribution (if any) is minor. The state pays the Vision Care premium . Tables HEALTH PLAN WITHDRAWALSThis year, unfortunately, two health plans are withdrawing from certain parts of the state: Blue Shield Access+ will withdraw from the following eight Bay Area counties:AlamedaContra CostaMarinSan FranciscoSan MateoSanta ClaraSolanoSonomaHealth Net will withdraw from the Sacramento region, which includes the following counties.

4 El DoradoPlacerSacramentoYolo22 PERSCarePremiumSingleTwo-PartyFamily2019 $930$1,860$2,4182018$776$1,552$2,018 Out-of-Pocket Cost2019$310$654$8632018$161$358$478 Kaiser PremiumSingleTwo-PartyFamily2019$708$1,4 17$1,8422018$717$1,435$1,865 Out-of-Pocket Cost2019$88$211$2872018$102$241$325 Blue Shield Access+PremiumSingleTwo-PartyFamily2019$ 799$1,598$2,0772018$752$1,505$1,956 Out-of-Pocket Cost2019$179$392$5222018$137$311$416 Health Plan monthly Premiums for Unit 9 Employees State Employer Contribution for 2019 PERS ChoicePremiumSingleTwo-PartyFamily2019$7 65$1,530$1,9882018$724$1,448$1,883 Out-of-Pocket Cost2019$145$324$4332018$109$254$343 PERS SelectPremiumSingleTwo-PartyFamily2019$4 92$984$1,2802018$661$1,323$1,719 Out-of-Pocket Cost2019$0$0$02018$46$129$179 Health Net SmartCarePremiumSingleTwo-PartyFamily201 9$729$1,457$1,8952018$791$1,581$2,056 Out-of-Pocket Cost2019$109$251$3402018$176$387$516 Anthem HMO SelectPremiumSingleTwo-PartyFamily2019$7 43$1,486$1,9322018$797$1,593$2,072 Out-of-Pocket Cost2019$123$280$3772018$182$399$532 Kaiser Out of StatePremiumSingleTwo-PartyFamily2019$96 5$1,929$2,5082018$957$1,914$2,488 Out-of-Pocket Cost2019$345$723$9532018$342$720$948 Anthem HMO TraditionalPremiumSingleTwo-PartyFamily2 019$1,034$2,069$2,6902018$841$1,683$2,18 7 Out-of-Pocket Cost2019$414$863$1,1352018$226$489$647 SharpPremiumSingleTwo-PartyFamily2019$59 4$1,187$1,5442018$625$1,249$1,624 Out-of-Pocket Cost2019$0$0$02018$10$55$84 UnitedHealthcarePremiumSingleTwo-PartyFa mily2019$696$1,392$1,8092018$705$1,409$1 ,832 Out-of-Pocket Cost2019$76$186$2542018$90$215$2922018: $6152018: $1,5402018: $1,194$620$1,206$1,555 Employee OnlyWestern Health AdvantagePremiumSingleTwo-PartyFamily201 9$707$1,414$1,8382018$720$1,441$1,873 Out-of-Pocket Cost2019$87$208$2832018$105$247$3332019 IMPORTANT NOTE: In 2019, Blue Shield Access+ will withdraw from eight Bay Area counties.

5 Alameda, Contra Costa, Marin, San Francisco, San Mateo, Santa Clara, Solano, and Net will withdraw from El Dorado, Placer, Sacramento, and Yolo Capitol Mall, Suite 501, Sacramento, CA 95814 Return Service RequestedProfessional Engineers in California GovernmentUNITY BRINGS COLLECTIVE RESULTSP lease Take a Minute to Recruit a New MemberRoy Flores, a Past PECG Corporate President and long-time San Diego Section leader was recently doing some research on PECG s early years. In 1963, PECG was a fledgling organization dedicated to improving the lives of state Engineers and related professionals. A small group 43 in total of PECG s founders met in the basement of what was then Caltrans District IV office on Oak Street in San Francisco. Those early leaders were frustrated, and had been for some time, that individually they could not stop the outsourcing of their work or make needed improvements to their pay and benefits. So in their declaration of PECG s purpose that August day they wrote Few of these items, however, can be accomplished on an individual basis.

6 They require concerted collective effort. A formal organization is necessary. Your active participation is the only way we can get the kind of representation necessary to preserve, foster and maintain the identity and stature of the Professional engineer in state service. That statement was true 55 years ago and it is just as true today. Improved pay, pension protection, quality health care, and job protection from outsourcing these are not things that can be accomplished on an individual basis. They require concerted collective effort. Today, please take a minute to encourage non-members to join PECG. Help them understand what those state Engineers meeting in San Francisco 55 years ago this month knew very well. PECG s success, the success of all state Engineers and related professionals, is entirely dependent on our collective effort the support of all eligible members. The PECG online e-application allows users to sign up for membership in minutes.

7 The e-application also contains a field to identify those who recruit new members PECG pays a recruitment bonus of $50 for every new rank-and-file member and $200 for supervisors and managers. Thank you for your good work!