News (Proprietary)
State Health Plan back in the black after major deficit
8+ hour, 48+ min ago (847+ words) After facing a substantial deficit for 2026 and 2027, the North Carolina State Health Plan (SHP) now has a surplus, thanks to an increase in premiums, funding from the General Assembly, and other cost-cutting measures. Friedman said their trend this year is running higher than in previous years, and part of that is due to how the plan's third-party administrator, Aetna, pays its claims. The plan's original projected deficit was $507 million in 2026 and between $800 million and $900 million in 2027. In August, the board agreed to raise plan premiums for the first time on a sliding scale based on income, with the smallest increases going to the lowest-paid state employees. The scale is broken down into four income brackets: Under $50,000; $50,001 to $65,000; $65,001 to $90,000; and $90,001 and over. Former State Treasurer Dale Folwell maintained a policy of not increasing premiums, but using cash reserves to offset increases,…...