Changes the background color to the value passed in. Changes the background color to the value passed in. 1950 Louisiana Legislature authorizes state agencies to obtain health and life insurance contracts for employees. Gov. McKeithen directs Commissioner of Administration to establish master group insurance plans, due to the great disparity in benefits among agencies. Indeed, approximately 25 companies write 300 different plans.
Many smaller agencies are unable to provide coverage for their employees.
Winning bidders, Blue Cross and Pan American, begin coverage for health and life insurance, respectively. Following a rate increase in 1972, the Division of Administration seeks to reduce administrative costs by assuming responsibility for claims processing and premium collection, while transferring underwriting to CNA and Valley Forge Life Insurance Company. 1974 Administration of claims program transferred to underwriter, due to a need for greater expertise in claims management. 1976 To reduce administrative costs and to enhance financial stability, a self-insured program for the health portion of the insurance package is created. Louisiana Legislature transfers responsibility for the Program from the Division of Administration to the Department of the Treasury and creates the Board of Trustees of the State Employees Group Benefits Program.