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January 21, 1999

Pitt near agreement on health insurance

Staff and faculty should soon know what changes, if any, to expect in their Pitt health insurance premiums next year.

By the end of January, the University should complete contract negotiations with UPMC Health Plan and Highmark Blue Cross/Blue Shield, said Ron Frisch, associate vice chancellor for Human Resources.

The medical advisory committee (a group of faculty, staff and administrators that advises the senior administration on health benefits) will review next year's rates before they are presented to the University Planning and Budgeting Committee for approval, Frisch said.

"Hopefully, we'll be able to announce details of the new contract to employees early next month," Frisch said. "Right now, though, I don't know exactly when it will be. There are still some loose ends with Highmark that we don't have signed agreements on yet." Currently, Pitt offers four health insurance plans: UPMC Health System's Tri-State HMO and Highmark's Comprehensive, Keystone HMO and SelectBlue plans.

It's very likely those will remain the options for the next fiscal year, which begins July 1, Frisch said.

Pitt's current contract with UPMC Health Plan and Highmark expires June 30. The University currently pays the full cost of individual coverage under both the Highmark Keystone and Tri-State HMOs. Pitt contributes the same dollar amount to faculty and staff who choose other coverage options (family, spouse, parent/child) through the HMOs as well as to employees enrolled in the more expensive Comprehensive and SelectBlue plans. Employees pay the difference in monthly rates.

Those rates haven't been set yet, but Frisch said: "Our intention throughout these negotiations has been to have no dramatic changes in vendors, plans or rates for next year." — Bruce Steele


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