The proposal is introduced to the Senate. The current contract ends on January 1, 1995. This substantial rise in rates has provoked the Administration to look at other plans and companies. Cheney said her advisory committee recommends Wausau since this company offers a PPO plan and is the best alternative. The system encourages cost containment and thus employees are expected to use network participants and facilities.
Employees are responsible for a co-pay but no deductibles.
Tech would continue to be self insured. Being self insured is advantageous, Cheney continued, because it offers more leeway in selecting a plan. Roblee asked for comparison costs of a non self-insured plan. Diebel asked about a flexible benefit plan whereby employees could obtain their own insurance, and Cheney said she would check into the possibility, but employees not on University insurance must prove they have their own. Several Senators asked about coverage during a sabbatical.