The 2023 premium rates for the WELS VEBA Group Health Care Plan are now available. To find the 2023 premium rates for the plan options available in your area, visit the 2023 health rates page.
The 2023 rates will increase by 9.5% over the current 2022 rates. There are three main drivers of the increase:
- The utilization of health care services has increased as access to providers has improved during the COVID-19 pandemic.
- Inflation has caused the cost of health care services and prescription drugs to increase at a faster pace than in recent previous years.
- Investment returns achieved by the WELS VEBA medical trust year-to-date through June 30, 2022 are lower than expected.
Although the 2023 increase is significant, the increase is necessary for the plan to maintain adequate projected long-term reserves and is in line with average expected increases in health insurance premiums nationwide. It is also important to remember that over the previous four years the WELS VEBA rates increased by a total of only 4%, and $4.2 million in savings was passed on to participating sponsoring organizations during the August 2020 premium holiday.
The Plan 3 deductible amounts will increase to $3,000/individual and $6,000/family to remain compliant for use with Health Savings Accounts in 2023. Because of these deductible increases, the Plan 3 premium rates will increase by only 8.7% for 2023. No significant changes to covered services are expected for any plan option.
The WELS VEBA Commission approved a full open enrollment period this November for new coverage effective January 1, 2023. All eligible workers will have the opportunity to enroll for new coverage or make changes to their existing WELS VEBA coverage. Sponsoring organizations that do not currently participate in WELS VEBA will have the opportunity to participate by offering WELS VEBA to their eligible workers for 2023. Open enrollment materials will be mailed to eligible workers and sponsoring organizations by the end of October.