University of Wisconsin-Madison
Academic Staff Assembly Document #316A
Madison May 12, 2003

Approved by the Assembly 5-12-03

Amendment to substitute Academic Staff Assembly Document #316 passed 5-12-03

RESOLUTION IN SUPPORT OF GROUP INSURANCE BOARD RECOMMENDATIONS TO REENGINEER 
EXISTING HEALTH CARE STRUCTURE

Submitted by Bill Steffenhagen (ASEC) and Esther Olson (District 485)

WHEREAS, The tradition of excellent benefits for state employees (except for the failure to provide domestic partner benefits) allows the UW to recruit and retain world-class employees, therefore, the importance of maintaining comprehensive health insurance coverage for all UW-System employees is vital;

WHEREAS, The current premium contribution formula is over twenty years old, has become antiquated and has outlived its ability to provide quality cost-effective health care;

WHEREAS, The current formula creates inequities in the employee's premium contribution from county to county, in some instances even when the same health plan is selected by employees in different counties;

WHEREAS, The current formula encourages health care plans to inflate premiums to maximize the 105% threshold increasing state health care costs;

WHEREAS, The current formula does not take into account the health plan's risk pool, some health plans have left the State Group Health Insurance Program because they could not offer a competitive premium, therefore, limiting employee choice in many areas of the state;

WHEREAS, The self-insured Standard Plan has become unaffordable for employees in many areas of the state because of the high employee premium contribution required under the current formula; and

WHEREAS, Employees recognize that they must be part of the solution to help control health insurance costs, in part to prevent the erosion of overall compensation plans. Therefore be it

RESOLVED, the University of Wisconsin-Madison Academic Staff Assembly affirms support of the Group Insurance Board's concept of evaluating and rewarding participating health plans on the basis of quality and efficiency, and affirms support for a premium structure that provides quality health care options at a reasonable cost to the State of Wisconsin and UW-System employees.