GovGuam health insurance bill could save government millions annually

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Guam – A new measure has also been introduced that would make some changes in the way the GovGuam health insurance contract is executed.

Introduced by Sen. Jim Espaldon and Speaker BJ Cruz, bill 243 would require all executive branch agencies to utilize the same health insurance contract.

The legislative and judicial branches and other entities, meanwhile, would be required to express their participation in the same contract by March 1. Under current law, no deadline is set.

Health insurance proposals are usually developed between February and April. By mandating all executive branch entities to enroll in the same contract and setting a deadline for other branches of government, the bill “locks in prospective enrollees for better rate development by the responding health insurance companies.”

The measure will also require GovGuam retirees and survivors enrolled in Medicare Part A and B who select class 1 or 2 to participate in the Retiree Supplemental Plan. Senator Espaldon says the requirement could save GovGuam about $3.4 million annually.