PEB Board reviews proposed 2024 Medicare premiums and approves two free COVID tests for UMP members

On June 29, 2023, the Public Employees Benefits Board (PEB Board) met. Board members attended in person at the Health Care Authority building in Olympia and remotely. The meeting was open to the public both in person and via Zoom.

Meeting recap

Highlights are listed below. See the briefing book for all presentation materials.

The Board approved the following resolutions:

• PEBB 2023-04 — UMP High Deductible IRS Plan Minimum Deductible: For plan years beginning on or after January 1, 2024, HCA shall set the annual deductible for the UMP Consumer- Directed Health Plan (CDHP) at the minimum annual deductible level established by the Internal Revenue Service (IRS) to qualify the plan as a high-deductible health plan.
• PEBB 2023-05 — UMP COVID-19 Over-the-counter Test Coverage: Beginning July 1, 2023, all Uniform Medical Plan (UMP) plans will cover up to two over-the-counter COVID-19 diagnostic tests per member per month, up to $12 per test, without member cost-share. If the Internal Revenue Service (IRS) issues future guidance that requires the deductible to be met prior to plan payment for over-the-counter COVID-19 diagnostic tests in high-deductible health plans, the UMP Consumer-Directed Plan shall be amended to comply with IRS guidance.

After presenting the proposed 2024 Medicare premiums, HCA staff proposed the following resolutions for a vote at the July 12 Board meeting. Approving these resolutions would include approval of premiums and benefit designs for all PEBB Program Medicare plans administered by each of these carriers:

• PEBB 2023-06 — Medicare Explicit Subsidy: The PEB Board endorses the calendar year 2024 monthly Medicare Explicit Subsidy of $183 or 50% of premium, whichever is less.
• PEBB 2023-07 — Kaiser NW Medicare Premium: The PEB Board endorses the Kaiser Foundation Health Plan of the Northwest Medicare plan premium.
• PEBB 2023-08 — Kaiser WA Medicare Premium: The PEB Board endorses the Kaiser Foundation Health Plan of Washington Medicare plan premium.
• PEBB 2023-09 — UHC Medicare Premium: The PEB Board endorses the UnitedHealthcare Medicare plan premiums.
• PEBB 2023-10 — Premera Medicare Premium: The PEB Board endorses the Premera Medicare plan premiums.
• PEBB 2023-11 — UMP Medicare Premium: The PEB Board endorses the Uniform Medical Plan (UMP) Medicare plan premium.

HCA staff provided presentations on the following:

• Formulary development: How prescription drugs are approved, from FDA approval to plan coverage.
• An online member survey conducted in February and March to obtain feedback about open enrollment communications, particularly the newsletters sent to PEBB and SEBB Program members with important information.
• Benefit design development: How PEBB Program benefits are developed and implemented; how long it takes to introduce new or modified benefits.
• The proposed PEBB Program 2024 Medicare premiums.
• Medicare subsidies and how they affect PEBB Program premiums; how Medicare premiums are derived; and specifics about contributing factors for the UMP Classic Medicare 2024 premium increase.
• Benefit changes for PEBB Medicare fully insured plans in 2024, including hearing aid benefit enhancements; increases to chiropractic, acupuncture, and massage limits; and discontinuing Kaiser Permanente Washington’s First Fill program.
• An overview of Medicare topics covered during the 2023 Board season, a discussion of HCA actions since last Board season, and a preview of future actions.

The Board met in executive session before the meeting adjourned.

Next meeting

The next public meeting of the PEB Board is scheduled for July 12, 2023, from 9 a.m. to noon. Board members and the public may attend in person or virtually, via Zoom. A link or call-in number for virtual attendance will be noted on the meeting agenda and posted on the PEB Board Meetings and materials webpage.