Commentary

School Districts in Wisconsin Saved $30 million on Health Insurance Costs Since Collective Bargaining Relief

A competitive environment for health insurance is already saving school districts money in Wisconsin.

As the Wisconsin State Journal reports:

WEA Trust, the not-for-profit insurer that covered about two-thirds of Wisconsin school districts last year, has seen its revenue decline almost $70 million after the state gave districts more freedom to switch insurers. . . .

The data, from 52 school districts that changed health insurance carriers, show total savings of more than $30 million. Walker said the savings are good news for taxpayers, and also free dollars for teacher wages and classroom development.

And even those districts that did not switch health insurance plans are now getting a more competitive deal:

However, other districts said even with the increased freedom to switch, they preferred to stay with WEA Trust. They said the insurer offered them a competitive price along with the secondary benefit of strong customer service.

One example is the School District of La Crosse, which insures about 1,000 people. Its premiums actually went down 3 percent last year.