The State Health Benefits Commission (SHBC) held a special meeting on February 11 to discuss a mid-year rate change on the State Health Benefits Program (SHBP) premium rates.
AON, the State’s actuary, representatives presented a report on the overview of new premium rates effective July 1, 2026, along with a a summary of the resolutions and associated impacts and summarizing the rate changes by group and plan options. The analysis “evaluates the impact of these plan design changes on the premium rates for the second half of Plan Year 2026. The results quantify the effect of these changes relative to previously approved 2026 premium levels. For state actives, the plan design changes and updated rates are assumed to replace the current Plan Year 2026 plan designs and premium rates and apply to all employees beginning July 1, 2026, through December 31, 2026. For State Early Retirees, Local Government Actives, and Local Government Early Retirees, the plan design changes do not apply to the current plan options and instead create new plan options that may be offered alongside the current plans.” They do not replace the current plans.
As reported from the last Plan Design Committee meeting, the Division of Pensions and Benefits indicated that a Special Open Enrollment will take place in April for State employees only. After a question from Dudley Burdge, AFL-CIO representative for Local Government Employees, the State noted that Local governments will have to request a Special Open Enrollment. No additional information was provided.
The League is monitoring this issue closely and is currently reviewing the AON report will provide an analysis shortly and further updates as appropriate.
Contacts: Lori Buckelew, Deputy Executive Director, 609-695-3481 x. 112, lbuckelew@njlm.org or Erin Knoedler, Legislative Analyst, 609-695-3481 x. 116, eknoedler@njlm.org