On July 27, the School Employee’s Health Benefits Commission (SEHBC) approved the Plan Year 2027 premium rate increases for retirees recommended by AON (the actuary for the State’s health benefits plans), but postponed the vote for active employees until August 19. The postponement was made pending additional information from the State Treasury’s Division of Pension and Benefits exploring possible cost-saving measures that may be implemented before the start of Plan Year 2027 to alleviate AON’s initial recommendation to increase Active premium rates by 34.4%.
As was the case when AON first presented its Plan Year 2027 rate renewal recommendations at the SEHBC’s July 15 meeting, the July 27 meeting once again discussed factors contributing to rising healthcare costs, such as SEHBP plan richness, the exit of relatively healthy member districts in favor of other options, and GLP-1 prescription drug utilization. In these and all discussions, the NJSBA will continue to advocate for real reform and cost savings that do not blame or punish districts for carrying out their responsibility to make the most efficient use of taxpayer dollars and maximize investments in our students. For additional information, please see the July 15, 2026 statement by NJSBA Executive Director/CEO, Dr. Timothy J. Purnell.
