CalPERS board approves pilot for lower-cost health care option

The California Public Employees’ Retirement System (CalPERS) Board of Administration in April approved a new pilot program designed to improve health care quality at reduced costs to active and retired members in Sacramento, Placer and El Dorado counties.

The board is working with Blue Shield of California, Catholic Healthcare West (CHW) and Hill Physicians Medical Group to implement the pilot program starting January 2010.

A health care model will be created to align incentives among the health plan, hospital system and medical group. Even if the pilot’s cost reduction goals fall short of expectations, rates will not go up, CalPERS said.

Those who participate could receive enhanced services centered on disease management and prescription drugs and pay a lower health care premium.

Even if already enrolled in one of the other CalPERS health plans, eligible members may select Blue Shield NetValue and choose a hill-affiliated primary care physician during the Health Open Enrollment period, which is scheduled between Sept 14 and Oct. 9.