LSU flagship campus gets insurance-buying autonomy
BATON ROUGE - Lawmakers have given LSU the authority to leave the state-run insurance program and buy its own coverage in a first-of-its-kind arrangement for a Louisiana college.
University System President F. King Alexander says the move could save the Baton Rouge campus millions of dollars and allow it to get insurance more suited to its needs.
Approval Friday from the Legislature's joint budget committee was granted for a pilot program that later could be replicated across other university campuses, but that will face annual scrutiny first from lawmakers.
Alexander says LSU's flagship campus pays about twice as much as similar institutions in other states for insurance coverage. LSU estimates it could save $5 million by 2020 if it takes control of its insurance coverage.
The Legislature's financial analysts questioned the savings estimate.