Department of Civil Service

NY07-50

TO: State Agency Health Benefits Administrators
FROM: Employee Benefits Division
SUBJECT: 2008 Health Insurance Contribution Biweekly Rates 2008 Dental and Vision Rates for Leave without Pay
DATE: November 21, 2007

Attached are the 2008 New York State Health Insurance Program premium rates and Medicare Part "B" reimbursement rates effective January 1, 2008. The NYSHIP rates are presented for three basic groupings:

• Schedule I – With Drug Coverage
• Schedule II – No Drug Coverage (Informational Purposes Only)
• Schedule III – Student Employee Health Plan (SEHP)

Please note that there are also two sets of Schedule I and Schedule II. Schedule II is included for informational purposes only as all State agency employees are in a bargaining unit that provides prescription drug coverage.

The Empire Plan rates, in aggregate, will increase 5.5% while the SEHP rates will increase 13.3%. The percentage changes for individual and family rates vary due to the separate rating of enrollee and dependent experience as well as the bargaining status of the respective groups.

Overall, the HMO rates have increased an average of 5.2%, with varying percentage changes for both individual HMOs and coverage types. The increase in the employee deduction by HMO can vary significantly due to the impact of the HMO capping formulas. The capping formula affects 14 of the 20 HMO option codes for family coverage, while 12 are affected for individual coverage.

Employee deductions will be changed automatically through PayServ as follows:

Employees Exempt from Lag Payroll

• Administrative payroll checks dated December 12, 2007

Employees Subject to Lag Payroll

• Administrative payroll checks dated December 26, 2007
• Institution payroll checks dated January 3, 2008

Questions may be directed to your processor.