Self-insurance included in state budget proposal
The Group Insurance Board (GIB) voted to move Wisconsin to a self-insured health insurance model for state workers effective Jan. 1, 2018. The GIB projects this move to save $60 million over the next two years while providing the same level of benefits to employees and retaining access to 98 percent of our current medical providers. Gov. Scott Walker’s 2017-2019 proposed budget incorporates the anticipated savings. The proposed change still requires approval by the State Legislature.
Self-insurance is a way to finance employer health insurance programs. Instead of the state paying health insurance companies a fixed amount for employee health insurance, ETF would maintain funds in a reserve to pay individual health care claims. Currently, we have three self- insured benefit programs – Uniform Dental Benefits, pharmacy benefits and our Access health insurance plan.