Kaiser health care, offered throught the Coalition "Choices" program has announced a drastic increase in 2005 rates for County employees. This increase appears despite assurances from the County and Kaiser that the rates would be held to a minimum.
Kaiser Lies; Now Refuses
to Honor Commitment
Board of Supervisors Can
Help; But Will They?
Friday, August 20, 2004
It's official.
Despite intense advocacy by the Coalition of County Unions -- including
media efforts, face-to-face negotiations, and our ongoing petition drive -
Kaiser refused this week to honor its commitment to keep rate increases low in
2005.
After promising only a 5% rate increase for 2005, Kaiser
went back on their word and increased premiums by 13.3% with no valid
explanation. The additional rate
increase will decrease families' take home pay as much as $58 per month.
Adding insult to injury, Kaiser's last, best, and final
offer - to re-design the plan by increasing co-pays nearly $4 million a year*
in exchange for $3.4 million in premium savings to members (see note below) -
would cost members $600,000 more money out of pocket! This is a classic "Bait-and-Switch" maneuver by Kaiser,
and we didn't buy it.
Your Union - and the other
member unions in the Coalition of County Unions - said "NO THANKS!"
to Kaiser's deceptive offer.
Now, to help gain leverage against Kaiser in our struggle to
preserve affordable healthcare for members, WE WILL ASK THE BOARD OF
SUPERVISORS NOT TO ALLOW ANY NEW MEMBERS TO ENROLL IN KAISER DURING OPEN
ENROLLMENT IN OCTOBER.
If the Board of Supervisors does right by County employees
by agreeing to our request, we believe the added pressure of not being allowed
to accept any new participants should cause Kaiser to honor their original
commitment and reduce their rates.
However, we remind all Kaiser participants that your
annual open enrollment is coming up in October. Every other County HMO plan is now significantly cheaper than
Kaiser! If Kaiser cannot be forced to
lower their 2005 rates, we strongly recommend you review and seriously consider
the other plans in making your health care decision for 2005. Leaving Kaiser during open enrollment
would effectively give you a pay raise!
Stay Tuned...We and the other member unions of the Coalition
of County Unions will keep you up-to-date regarding these efforts.
*Kaiser's last, best, and final: Redesign plan to 8.9% premium increase + ER co-pays increase from
$5 to $50 and multiple other co-pay increases including brand name drugs are
doubled from $5 to $10 (100-day supply).
Kaiser would make more money under this plan re-design than they will by
their other offer of a 13.3% premium increase w/ no plan redesign. Classic Bait & Switch!
