The State Board of Finance on Friday unanimously approved increasing the rate paid to cover the cost of Arkansas state employee health insurance premiums. Currently, the state provides coverage for about 160,000 state and public school employees along with retirees and their families.

Jake Bleed, director of the Employee Benefits Division, told board members during a hearing that the state paying 65% of the cost of health insurance premiums is not enough.

According to a memo from the Employee Benefits Division, if Arkansas keeps the rate at 65%, the state’s health insurance plan for public school employees will begin deficit spending by 2025 and run out of its reserves by 2028.

https://www.ualrpublicradio.org/local-regional-news/2022-06-03/finance-board-approves-increase-to-contributions-for-employee-health-insurance-premiums