Financial health of state worker insurance program improved
BATON ROUGE - After hemorrhaging cash for months, Louisiana's health insurance program for state workers, public school employees and retirees is back on solid footing.
The financial improvement, however, came only after Gov. Bobby Jindal's administration lessened benefits and raised costs on many workers.
An update released this week from the Legislative Fiscal Office on the financial health of the Office of Group Benefits shows new health insurance plans that took effect March 1 have lessened the draining of the agency's reserve fund and increased revenue.
The fiscal office says if no changes had been made, the insurance program's reserve fund likely would have dwindled to below $50 million by June 30. Instead, the balance was estimated to be around $122 million.
A lawsuit on the insurance program changes is still pending.