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Student health insurance cost to increase next year

The University announced Wednesday that beginning this fall, health insurance costs will increase and all students will have to prove that they have health insurance before registering for courses.

The University's health care provider, Chickering Group, will increase its premiums by nearly 34 percent to $1,600 a year. Students will have to pay an annual deductible of $150 and an annual prescription deductible of $100, according to a University press release.

According to Pat Lampkin, vice president for student affairs, the changes stemmed from a Chickering proposal to increase premiums and other benefits to reflect the rising costs of health care nationally.

"There are basically no good choices with health insurance right now," Lampkin said. "It is a national problem, and we are a part of it."

Scott Champagne, senior vice president for client services at Chickering, said many other universities are facing similar health care pressures.

"We really are concerned about rate increases, and we take that very seriously," he said.

Although only 891 undergraduate students were insured by the University's provider last year, 3,645 of the University's 5,339 graduate students relied on Chickering for health insurance, according to a presentation by Chickering.

The changes have sparked strong reaction from graduate students who will be forced to pay increased out-of-pocket expenses, Graduate Labor Union President Craig Danielson said.

"We appreciate that there are budget problems, but we are among the lowest paid employees at the University and we don't want the University's budget balanced on us," he said.

The University promises to cover 100 percent of the cost of individual student coverage for graduate students who qualify for the health insurance subsidy, which will cover the $1,600 premium, Lampkin said.

Although many graduate students already receive the health care subsidy from the University, GLU is circulating a petition, currently signed by more than 800 people, asking the University to reconsider the modifications and ensure all graduate students receive the subsidy, GLU Treasurer William Craighead said.

"Everyone I talked to was willing to sign it," he said. "I hope they will take this seriously."

Craighead said he is an example of a graduate student who fails to meet the requirements that would grant him the health care subsidy from the University. In order to receive the subsidy, a graduate student must make more than $5,000 from a single source. The requirement is problematic for graduate students who receive smaller salaries from multiple sources, such as teaching assistant and research positions, Craighead said.

"It is good that they are going to continue subsidizing, but there are a lot of people being left out," Craighead said. "I don't think it's good for the University to be putting additional burdens on graduate students."

According to Alison Montgomery, director for administration for Student Health, the changes were discussed and brought to Lampkin for approval by the Student Health Insurance Committee, which is comprised of students and faculty members.

"It is not an attempt to recover past losses -- it is simply to make the plan survive," Montgomery said. "The plan was modified to the extent that it was acceptable to the Student Health Insurance Committee."

The modifications include a requirement dubbed a "soft waiver" that will require all students to provide proof of insurance online. Students who fail to provide proof of insurance will receive a registration block the following spring semester.

According to Lampkin, the system is a way to better regulate the initiative passed by the Board of Visitors in 1967, which requires all University students to have adequate health insurance.

"We want them insured, and we want them to have an option," Lampkin said.

The University opted for the soft waiver over a hard waiver, which would require students to have insurance coverage comparable to Chickering's coverage, said Madelyn Wessel, assistant to the vice president for student affairs.

"It is an intermediate step so we can get better informed," Lampkin said. "This is not something that is going to go away."

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