HSTA negotiates increases in employer health plan contributions

The Hawaiʻi State Teachers Association is pleased to announce a successful settlement in reopener negotiations that will result in the employer contributing millions more for health premiums under the Employer-Union Health Benefits Trust Fund (EUTF). This settlement will be added as a supplemental agreement, amending the final two years of the 2023–2027 HSTA contract.

Previously, employer contributions for health premiums were capped at 2024–2025 rates through 2026–2027. Employees would have fully absorbed any premium increases beyond that. For example, the HMSA PPO 80/20 Plan premiums are set to increase monthly as follows: Self +$49, Two-party +$119.02, Family +$150.80.

Under the new agreement, the employer will continue using the same contribution formula, covering 60% of the 2025–2026 and 2026–2027 monthly premiums for the HMSA 80/20 PPO Plan, with a 90% cap on premium contributions. This adjustment will result in an additional $7.5 million in employer contributions each year for the next two years.

More than 10,000 HSTA members rely on employer-sponsored health benefits. Without this agreement, members would have been responsible for 100% of the premium increases for the next two years.

While HSTA pushed for a higher employer share, the state was unwilling to adjust the formula, especially after other bargaining units had already agreed to the current terms. Nonetheless, this settlement prevents significant cost increases for our members.

Study EUTF rates, Facebook lives April 23, April 28 at 4 p.m.

As this is a supplement to the current four-year contract, you are not required to take further action. However, HSTA strongly recommends that you consider any necessary changes to your health insurance coverage during the upcoming open enrollment period, which begins May 1.

To help you navigate upcoming changes, HSTA has created a reference sheet comparing health plan rates for the coming year. Teachers should use the month of April to evaluate their family’s healthcare needs carefully and select the most cost-effective plan.