PEB Board learns about 2026 premiums for Medicare plans

On June 26, the Public Employees Benefits (PEB) Board met. Members attended in person at the Health Care Authority (HCA) in Olympia and remotely. The meeting was open to the public both in person and via Zoom.

Meeting recap

Highlights are listed below. See thebriefing bookfor all presentation materials.

HCA staff introduced the following proposed resolutions:

• PEBB 2025-05 — Rescinding Resolution PEBB 2023-03: UMP Hearing Instruments, Effective January 1, 2026, resolution PEBB 2023-03, as adopted on June 8, 2023, is rescinded.
• PEBB 2025-06 — UMP Hearing Instruments: Beginning January 1, 2026, prescribed hearing instruments in all Uniform Medical Plan (UMP) plans will be covered at 100 percent of the allowed amount every 36 months. Coverage for members enrolled in UMP Classic, UMP Classic Medicare with Part D, and UMP Select is not subject to the member meeting the plan deductible. Coverage for members enrolled in UMP Consumer-Directed Health Plan (CDHP) is subject to the member meeting the plan deductible.
• PEBB 2025-07 — Medicare Explicit Subsidy: The PEB Board authorizes the calendar year 2026 monthly Medicare Explicit Subsidy of $183 or 50% of premium, whichever is less.
• PEBB 2025-08 — Kaiser Foundation Health Plan of the Northwest (KPNW) Medicare with Part D premium: The PEB Board authorizes the Kaiser Foundation Health Plan of the Northwest Medicare with Part D plan premium.
• PEBB 2025-09 — Kaiser Foundation Health Plan of Washington (KPWA) Medicare with Part D premium: The PEB Board authorizes the Kaiser Foundation Health Plan of Washington Medicare with Part D plan premium.
• PEBB 2025-10 – UnitedHealthcare (UHC) Medicare premiums: The PEB Board authorizes the UnitedHealthcare Medicare plan premiums.
• PEBB 2025-11 — Premera Medicare premiums: The PEB Board authorizes the Premera Medicare Supplement plan premiums.
• PEBB 2025-12 — UMP Classic Medicare with Part D premium: The PEB Board authorizes the Uniform Medical Plan (UMP) Classic Medicare with Part D plan premium as presented on June 26, 2025. Consistent with open enrollment operational timelines, HCA has the authority to lower the 2026 premium if the Centers for Medicare and Medicaid Services (CMS) continues the Medicare Part D Premium Stabilization Demonstration.

HCA staff provided presentations on the following:

• UMP benefit design, including an increase to the deductible for CDHPs to $1,700 per person or $3,400 per family to align with IRS requirements and proposed removal of the specified dollar amount benefit limit for hearing aids to comply with state and federal laws.
• Federally required changes to Medicare Part D plans, including the maximum out-of-pocket limit increasing from $2,000 to $2,100 for 2026.
• Premiums for 2026 for all Medicare plans.
• Enhancements in coverage for Uniform Dental Plan (UDP), including removing the deductible for children up to age 15 and increasing the limit for TMJ (temporomandibular joint dysfunction) to $1,000 annually and $5,000 lifetime, effective January 1, 2026.
• Update on flexible spending arrangement (FSA) benefit, including an increase for the Collective Bargaining Agreement (CBA) FSA income limit to $68,004 and the contribution amount to $300, effective January 1, 2026.
• Benefits 24/7 online enrollment system stabilization and preparation for annual open enrollment this fall.

The Board met in executive session.

Next meeting

The next public meeting of the PEB Board is scheduled for July 10, 2025, starting at 9 a.m. Board members and the public may attend in person or virtually via Zoom. A link for virtual attendance will be noted on the meeting agenda and posted on the PEB Board Meetings and materials webpage.