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Monday, November 7, 2005

Lower insurance premiums a welcome surprise for KS state workers

Associated Press





TOPEKA, Kan. - A new health insurance contract will reduce premiums for thousands of state employees.



State officials say the good news is a result of better plan management and more efficient use of insurance on the part of workers.



All told, 90,000 government workers and their dependents are covered by the contract.



Gavin Young, a spokesman for the Kansas Department of Administration, said he believed most state workers would see a decrease in rates. He said premiums for the individual-coverage plan would likely drop about $7 monthly, while family premiums would decrease about $69 a month.



The new rates take effect Jan. 1.



The state is also starting a pilot program called Healthy KIDS, which will pay 90 percent of health care premiums for children of low-income employees. It is aimed at covering children who are ineligible for the HeathWave program because of federal guidelines barring state employee dependents.



The Healthy KIDS plan is expected to cover more than 2,000 children.



Gov. Kathleen Sebelius lauded the improvements, saying "These changes add up to a tremendous benefit increase and demonstrate what can be accomplished when the plan is managed wisely and employees do their part by living a more healthy lifestyle."



The good news for workers was surprising for many who have become accustomed to rising insurance rates.



"It's kind of a surprise," said Kathy Jansen, president of the Support Staff Senate at the University of Kansas, which has 4,760 state employees on its Lawrence campus and another 2,200 at its Medical Center. "We've been conditioned every year to an increase, so it was kind of 'Whoa, what's this?'" she said.



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