FISCAL NOTE
Date Requested: February 10, 2017 Time Requested: 09:27 AM |
Agency: |
Public Employees Insurance Agency (PEIA) |
CBD Number: |
Version: |
Bill Number: |
Resolution Number: |
1301 |
Introduced |
HB2016 |
|
CBD Subject: |
Insurance, Military and Veterans |
---|
|
FUND(S):
2180
Sources of Revenue:
Special Fund
Legislation creates:
Neither Program nor Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The purpose of this bill is to make active and inactive military members eligible for the PEIA plan as employees.
The population of this fiscal note is all active armed forces, reserve forces and national guard currently in WV, increased by a factor of 250% to account for inactive personnel. This number is then multiplied by 50% for the percentage that would accept PEIA. This is performed due to active personnel are covered by the federal insurance Tricare and some inactive personnel may already have insurance coverage. There are currently 8,350 active personnel in WV. Applying the above adjustments to this number results in a final assumption of 14,613 new policies in PEIA.
The fiscal note doesn’t indicate who will pay the employer premiums for these newly eligible members. This fiscal note assumes the State of WV will assume these costs at 80% per WV §5-16. The current per employee claim cost of $681 has been applied to the new policies and trended at 6% per year.
FY 18 $101,262,521
FY 19 $107,338,272
FY 20 $113,778,568
Fiscal Note Detail
Effect of Proposal |
Fiscal Year |
2017 Increase/Decrease (use"-") |
2018 Increase/Decrease (use"-") |
Fiscal Year (Upon Full Implementation) |
1. Estmated Total Cost |
0 |
101,262,521 |
101,262,521 |
Personal Services |
0 |
0 |
0 |
Current Expenses |
0 |
101,262,521 |
101,262,521 |
Repairs and Alterations |
0 |
0 |
0 |
Assets |
0 |
0 |
0 |
Other |
0 |
0 |
0 |
2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
Memorandum
Person submitting Fiscal Note: jason haught
Email Address: jason.a.haught@wv.gov