A Senate committee has approved legislation that makes it possible for the state to raid the reserve funds of Horizon Blue Cross Blue Shield, New Jersey’s largest health insurance provider.
NJEA adamantly opposed that bill. You can read our testimony here. Horizon’s reserve fund is intended to pay the health care claims of its customers. It was created using the premiums paid by customers. The only appropriate use of the reserve fund is to pay customers’ claims, improve the quality and efficiency of their service or lower the cost of future premiums.
The state should NEVER be allowed to raid that reserve to fund other budget priorities.