Copyright© 2007 by School Services of California, Inc.

                                      Volume 20                   For Publication Date: February 16, 2007             No. 4

By the Way . . .
 

STRS and PERS to Research Health Insurance. Trustees of the California State Teachers’ Retirement System (STRS) and the California Public Employees’ Retirement System (PERS) are exploring a statewide health benefits program that would cover public school employees and retires. 

The study is a result of legislation calling on PERS to study the insurance pool concept because of the increasing number of uninsured school employees. In addition, school districts are grappling with the rising cost of health care and numerous individual employer insurance plans. The purpose of the study is to examine whether California can develop a statewide health program that could result in lower premiums and costs. 

According to STRS, a recent survey found that 78% of employers do not pay for health insurance after retired teachers turn age 65. That’s up from 74% in 2003. STRS will contribute $65,000 for the study.