$20 Million Insurance Cost Rise Spurs Debate on Physician Fraud; Senator Argues Gov't Must Absorb Costs, Not Employees

Senators deliberate rising health insurance costs for government employees and retirees, with calls for stricter actions on fraud and no additional financial burden on workers

Government employees and retirees can expect nearly $20 million in additional insurance costs for fiscal year 2025, according to Dr. Gilbert Commissiong, co-Chair of the GESC Health Insurance Board. Testifying before the Senate Committee of the Whole on Thursday, Dr. Commissiong revealed that the total increase of $19,948,273—covering employee, retiree, and government contributions to dental, vision, and life insurance—represents a 9.7% rise compared to fiscal year 2024.

Despite the increase, Dr. Commissiong reported that things could have been even more expensive. The board, he said, successfully negotiated rate caps with Cigna Healthcare, whose plan covers active government employees. Without these caps of 8% for medical coverage and 3% for dental coverage for the upcoming fiscal year, anticipated increases would have been closer to 25%, he said. Additional cost savings, though, would require significant changes to the coverage provided.