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                                        Savings under CIP:
                                       for 10+ retirees & couples,
                                                           for active employees on disability
                                                           for ALL surviving spouses
                                     
                                     (Based on calendar 2005 CCC premiums and on 2005-06 CIP premiums)
 
 NOTE: Early retirees are presumed to be getting Board subsidies so their premium costs will stay the same as under the current contract, in line with the Chancellor's statement of April 7, 2005.  But their surviving spouses, and many active employees' surviving spouses, unsubsidized by CCC, have their savings under CIP listed in the table below.

Alert: Starting July 1, 2006 CIP premiums will increase, most by about 11%, but much more in the case of  non-Medicare dependents. These premiums will be in effect till June 30, 2007.  CCC premiums for Medicare-eligible post-early retirees were increased 10% in January 2006 and will probably be increased by a similar amount on January 1, 2007 and will be in effect for calendar 2007.  So CIP savings for Medicare eligibles will be larger for the rest of 2006 than those detailed below, and will probably be even larger starting January 1, 2007.  Non-Medicare eligibles will do considerably worse however.  For the CIP 2006-7 premiums consult this site.
 
 

Savings table
Number who gain
Why our and the Union's numbers differ
 


90+% of this group get savings between $3,300 and $4,944


 
Annual savings
with CIP
Medicare retirees or
surviving spouses PPO
$3,420
Medicare couples PPO
$4,068
Medicare retirees or
surviving spouses HMO
$1,500
Medicare couples HMO
$684
Non-Medicare retirees or
surviving spouses, 65+ PPO
$3,300
Non-Medicare retirees or
surviving spouses, 65+ HMO
$1,020
Non-Medicare surviving spouse
of retiree, under 65, PPO
$4,716
Non-Medicare surviving spouse
of retiree, under 65, HMO
$4,944
Non-Medicare surviving spouse of 
active employee under 65, PPO ¹
$2,880
(No CCC coverage after 3 yrs)
Non-Medicare surviving spouse of 
active employee under 65, HMO ¹		 $1,104 
(No CCC coverage after 3 yrs)
Non-Medicare active employee
on SURS disability first 2 years HMO		           $1,044
Non-Medicare active employee
on SURS disability first 2 years PPO		           $2,784
Non-Medicare active employee
on SURS disability after 2 years 		 CCC - NO COVERAGE
CIP - 75 % subsidized rate ²
¹ After 3 years of COBRA this surviving spouse has NO coverage at all under CCC plan
² $1,920 annual (HMO) and $2,220 annual (PPO)

So you can see, only non-Medicare couples are without savings under CIP. With PPO such a couple has an annual loss of $192.  There is only ONE such family currently in the Local 1600 10+ retiree group.  There is no non-Medicare HMO family in the group.

90% of the 10+ group is PPO where the biggest savings are

Click her to see the actual premium comparisons


How many people gain with CIP?

The following numbers represent our best estimates for the Local 1600 community

         All but two of the current 10+ group:                                               256

        Part of the 180 members who quit the 10+ CCC plan
           after the big premium increase in May 2004:                                 90-120(?)

        By 2008, there will have been 295 early retirees who have
        entered the 10+ group, most of whom would gain from CIP:             200-250

        In addition, another unpredictable number of surviving
                spouses from the early retiree group & from actives
                and active employees on SURS disability                                         ?

        TOTAL who gain with CIP by 2008:                                             ca. 500-600 or more

O.K. it's an estimate. But it surely refutes the statement: "Very few people would gain  through a change from what we have now." (Perry Buckley's letter, 5/16/05, emphasis in original).

In 7 years we might be talking about more than half of CCC's portion of Local 1600 benefitting!!


Why our numbers and the Union's differ at times

Our numbers here, as everywhere on this site, are the latest numbers as of the time of writing-- the calendar 2005 Local 1600 premiums for CCC and July 1, 2005-June 30, 2006 premiums for CIP. Local 1600 has been using last year's numbers -- calendar 2004 for CCC and July 1, 2004-June 30, 2005 for CIP.  We think the latest numbers are more appropriate. But no matter which set of numbers you use, you come up with similar results, except the latest numbers usually give CIP a little more savings. Remember it is extremely likely that CCC will have premium increases in January 2006. 


(May 2006 note: They DID have 10% increases  for Medicare eligibles in January 2006, which increased CIP savings even further, and CCC will almost certainly have more increases in January 2007.  CIP, on the other hand, will have mostly 11% increases for Medicare eligibles starting July 1, 2006. These premiums will be in effect till June 30, 2007.  CIP Medicare eligibles will therefore continue to have large savings through that date.  However CIP non-Medicare dependents will do considerably worse under CIP because CIP gave them very large premium increases as of July 2006.  This group would clearly be better of with other insurance.)

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