The following decisions were made by Group Insurance Managers:
1. Maintain current monthly insurance premiums in the following options:
A3 – Basic Accidental Death and Dismemberment
A4 – Voluntary Accidental Death and Dismemberment
C – Long Term Disability
2. A1 – Total Basic Term Life monthly premium will decrease from $0.118/$1,000 to $0.107/$1,000 and Dependent Life will decrease from $1.64 to $1.52 per unit. The Post-65 Life coverage remains at $25.08 per month which translates to $19.58 per month for members.
3. B – Health Insurance monthly premium deductions increase for single coverage by $10.82 per month ($5.41 per pay period) and $17.94 per month ($8.97 per period) for family coverage.
4. A2/A5 – Voluntary Life (Member/Spouse) premiums will decrease by approximately 10%.
5. CI–Basic Critical Illness premiums will decrease to $3.08 per month and CC–Voluntary Dependent Child Critical Illness will decrease to $2.02 per month. CV/CS–Voluntary Member/Spouse Critical Illness will decrease by approximately 16%.
6. B2 -Dental Insurance monthly premium deductions increase by $2.18 per month ($1.09 per pay period), and $4.38 per month ($2.19 per pay period) for family coverage.
Analysis of Premium Rate Adjustments
Table 1: Comparison of the Current and New Premium Rates.
| Total Monthly Premium Rates | ||
|
|
Current |
New |
|
Basic Life (2 x Salary/Pension) |
$0.118/$1,000 |
$0.107/$1,000 |
|
Dependent Life |
$1.64 |
$1.52 |
|
Voluntary Member/ Spousal Life |
Step Rated by Age |
Decrease by approximately 10% |
|
Basic Accidental Death & Dismemberment |
$0.191/$10,000 of benefit |
Same |
|
Voluntary Accidental Death & Dismemberment |
$0.24/$10,000 of benefit (Single) |
Same |
|
Basic Critical Illness |
$3.66 |
$3.08 |
|
Voluntary Member/Spouse Critical Illness |
Step Rated by Age Band, Gender, |
Decrease by approximately 16% |
|
Voluntary Dependent Child Critical Illness |
$2.40 |
$2.02 |
|
*Health: |
$168.50 |
$181.40 |
|
Dental: |
$39.46 |
$42.94 |
|
Long Term Disability |
$1.153/$100 of salary |
Same |
|
**Retiree Post-65 ($15,000) |
$25.08 |
Same |
* Member Rate subsidy in place for 2022-2023.
** For retired teachers who turned age 65 after September 1, 2004, $19.58 is paid by the retiree, $5.50 is paid from the Post-65 Life Fund established when the Post-65 Paid-Up Life program was eliminated on September 1, 2004. Retired teachers who turned 65 prior to September 1, 2004 and were eligible for the Paid-Up Life benefit are not eligible for this subsidy.
Government Contribution Rates – Impact on Member Premiums
Government’s contributions to the premium rates in the A1 – Basic and Dependent Life, the A3 – Basic Accidental Death and Dismemberment, and the B – Health plan options are determined annually in accordance with a Premium Rate Setting Process utilizing an independent insurance consultant. Government’s contributions to the NLTA premium rates are the lesser of 50% of the NLTA premium rate calculated under the rate setting process in the Collective Agreement or 50% of the Government premium rate for its own Basic/Dependent Life, Basic Accidental Death and Dismemberment, and Health plan options calculated under this rate setting process. The following table illustrates the impact of the Premium Rate Setting Process and the Government contribution rate determined for 2022-2023.
|
Basic Plan Premium Rates Per Pay Period |
|||||||||
|
|
Member Contribution |
Government Contribution |
Total Premium |
||||||
|
|
Current |
New |
|
Current |
New |
|
Current |
New |
|
|
Basic Life |
Single: |
$4.40 |
$3.84 |
Single: |
$5.04 |
$4.72 |
Single: |
$9.44 |
$8.56 |
|
AD&D |
|
$1.05 |
Same |
|
$0.48 |
Same |
|
$1.53 |
Same |
|
*Health |
Single: |
$62.16 |
$67.57 |
Single: |
$20.34 |
$21.38 |
Single: |
$84.25 |
$90.70 |
* Member’s contributions are subsidized at a rate of $3.50 per month for single and $7.00 per month for family.
A benefit statement from the Plan Administrator, Johnson Inc., outlining your personal coverage and premiums will be mailed to you in the near future.