Submitted by Kent Ervin and Doug Unger
On March 19th, the PEPB Board made final decisions on plan design and rates for FY2027, effective 7/1/2026.
Open enrollment will be May 1 to May 31. Participants should carefully consider whether to choose different plan options, which have major changes to benefits and premiums.
For NFA members, Kent Ervin and Doug Unger have prepared a comprehensive analysis of the benefits changes, new employee premiums, and a summary of PEBP’s problematic budgeting and rate-setting processes. Important highlights include:
High-Deductible Health Plan (aka Consumer Driven Health Plan):
- Increase the deductible from $1650/$3300 to $1700/$3400 (single/family)
- Increase the out-of-pocket maximum from $4000/$8000 to $5000/$10000 (single/family)
- No change in employee premiums, which are the lowest of the three plan options, from the current year. For example: $55/month for employee-only and $411/month for a family.
Low-Deductible Health Plan (aka Copay PPO plan)
- Currently no deductible. FY2027 deductible of $300/$600 (single/family)
- Increase the out-of-pocket maximum from $4000/$8000 to $5000/$10000 (single/family)
- Increase employee premiums. For example: increases of $68/month (75%) for employee-only and $159/month (32%) for a family, for new totals of $160/month (employee-only) and $657/month (family).
Exclusive Provider Organization (northern limited-network plan)
- Decrease out-of-pocket maximum from $5000/$10000 to $4000/$8000 (single/family)
- Increase employee premiums. For example: increases of $161/month (73%) for employee-only and $378/month (47%) for a family, for new totals of $361/month (employee-only) and $1,180/month (family).
Health Maintenance Organization (southern limited-network plan)
- No changes to benefits, out-of-pocket maximum remains at $5000/$10000 (single/family)
- Same employee premium increases as northern EPO plan: new totals of $361 for employee-only and $1,180 for families.
A summary rate table for state active employees is below. PEBP has published the full rate tables as approved by the Board on March 19th.
| PEBP State Actives |
FY2026 |
FY2027 |
Premium Change FY27 vs. FY26 ($) |
Premium Change FY27 vs. FY26 (%) |
| Total Rate |
Employer Contrib. |
Employee Premium |
Total Rate |
Employer Contrib. |
Employee Premium |
| High-Deductible Plan (CDHP) |
| Participant |
$849 |
$794 |
$55 |
$820 |
$764 |
$55 |
$0 |
0.0% |
| Participant+Spouse |
$1,684 |
$1,370 |
$314 |
$1,624 |
$1,310 |
$314 |
$0 |
0.0% |
| Participant+Children |
$1,162 |
$1,010 |
$152 |
$1,121 |
$969 |
$152 |
$0 |
0.0% |
| Participant+Family |
$1,996 |
$1,585 |
$411 |
$1,926 |
$1,515 |
$411 |
$0 |
0.0% |
| Low-Deductible Plan (Copay PPO) |
| Participant |
$886 |
$794 |
$92 |
$1,064 |
$904 |
$160 |
$68 |
75% |
| Participant+Spouse |
$1,757 |
$1,370 |
$387 |
$2,113 |
$1,591 |
$521 |
$134 |
35% |
| Participant+Children |
$1,212 |
$1,010 |
$202 |
$1,457 |
$1,162 |
$296 |
$93 |
46% |
| Participant+Family |
$2,083 |
$1,585 |
$498 |
$2,506 |
$1,849 |
$657 |
$159 |
32% |
| EPO/HMO |
| Participant |
$1,014 |
$794 |
$220 |
$1,309 |
$928 |
$381 |
$161 |
73% |
| Participant+Spouse |
$2,013 |
$1,370 |
$943 |
$2,907 |
$1,642 |
$962 |
$319 |
50% |
| Participant+Children |
$1,388 |
$1,010 |
$379 |
$1,795 |
$1,196 |
$599 |
$220 |
58% |
| Participant+Family |
$2,387 |
$1,585 |
$802 |
$3,089 |
$1,909 |
$1,180 |
$378 |
47% |
We thank the hundreds of NFA members and other state workers who submitted public comments opposing steep increases to employee premiums and out-of-pocket costs. Your input helped limit the damage, but there will still be higher premiums for the low-deductible and HMO/EPO plans and higher out-of-pocket maximums for the high-deductible and low-deductible plans in 2026-2027.
READ THE FULL REPORT >>