Public School Employees’ Insurance Benefits ESSB 5940
The Public School Employees' Insurance Benefits Bill, ESSB 5940, required several changes to K–12 public school employee health benefits. These changes became effective July 11, 2012.
In 2017, EHB 2242 made further changes to statutes governing public school employee health benefits. EHB 2242 established a nine-member School Employees' Benefits Board (SEBB) as part of a consolidated school district employees health benefits purchasing program in the Health Care Authority. The HCA duties are expanded to include administering health care benefit programs for school employees. Beginning January 1, 2020, all school districts must participate in the SEBB program, including districts and employees currently participating in the PEBB program, and health benefits for all school district and educational service district employees are merged into a single, community-rated risk pool separate from the risk pool for PEBB health benefits.
For more information, please contact John Bowden, Health Care Authority (HCA), 360-725-1113
- ESSB 5940 Frequently Asked Questions (Last updated September 7, 2012)
- OSPI Presentation (May 16, 2012)
Office of the Insurance Commission Data Reporting
Under ESSB 5940, school districts and their health insurance benefit providers were reviewed to annually submit data to the Office of the Insurance Commissioner (Commissioner) regarding progress toward greater affordability for full family coverage, health care cost savings, reduced administrative costs, and compliance with the requirement to provide a high-deductible health plan option with a health savings account. The school districts and their providers were to submit an overall plan summary.
The Commissioner must submit an annual report to the Governor, the Health Care Authority, and the Legislature regarding school district health insurance benefits, based upon the data and reports received from the districts and their benefit providers. From 2013 through 2016, the Commissioner has completed and submitted the required reports. The most recent report was submitted in November 2016, and according to the Commissioner, 100 percent of the districts and their benefit providers had submitted the required information.
In 2017, the legislature passed HB 1042 which eliminated the Office of the Insurance Commissioner's school district or educational service district annual report.