By GREGORY N. HEIRES
What
a difference a year makes.
One year ago, the DC 37 Health and Security
Plan needed to shore up its financial strapped prescription drug benefit by implementing
a new co-payment structure. And union health-care experts were still concerned
that skyrocketing medication prices threatened the benefit.
The situation
improved dramatically this year.
In January, municipal unions and the
city struck an agreement that will protect the drug plan in the foreseeable future.
The pact also allowed for an expansion of other benefits during an era when many
employers are cutting back.
Under the multi-million-dollar agreement,
the city and the municipal unions agreed to draw from a joint health insurance
stabilization fund, which had built up tremendous reserves in recent years.
The two-year agreement which includes the greatest infusion of benefit
funding in history calls for the city to make two major payments of $175
per member and retiree for benefits.
Protecting
and improving union benefits
Rx Savings
Lower copayments or none at all for these drugs: |
| Psychotropic
Injectable Chemotherapy
Asthma |
The
citys new PICA Drug Program resulted from a major agreement with municipal
unions earlier this year. Though the city administers the benefit, members continue
to use their union-provided NPA drug card at pharmacies to obtain the four medications.
Generics in these categories are free. Brand name asthma and chemotherapy
medicines are free. For brand name psychotropic and injectable drugs, the copayment
is $6 for 30-day supply at a pharmacy, $12 for 90-day supply by mail. |
In addition, beginning June 30, 2002, the citys regular annual payment
to union welfare funds will rise by $200 per member and retiree.
The
prescription plan will also save millions of dollars each year because the city
has agreed to cover psychotropic, injectable, chemotherapy and asthma drugs through
the new PICA program.
The expanded funding enabled the DC Health
and Security Plan to provide substantial increases in dental reimbursements effective
Oct. 1 and resulted in other key health benefit improvements. These included unlimited
in-network coverage in the GHI mental health program; a new HIP in-patient alcohol
and substance abuse rehabilitation program; a national panel of GHI doctors and
an improved fee structure for GHI physicians in Manhattan.
The accord
also allows workers to participate in the states college savings program
through payroll deductions. Next year, employees will be able to have 401(k) accounts.
A bulk purchasing program for computers and possibly other big-ticket items will
be set up.