The 2027 premium rates and updated plan options for the WELS VEBA Group Health Care Plan are now available. To find the 2027 rates for the plan options available in your area, visit the 2027 health rates page.
The following factors affected the 2027 WELS VEBA health plan rates:
- A 5.0 percent increase was applied to all plan options due to continued cost inflation (trend) for health care services and prescription drugs;
- The relative benefit value factor for each plan option was adjusted due to the 2027 plan design update; and
- The geographic regional rating factor was updated for all areas.
The total 2027 health rate change will therefore vary by plan option and sponsoring organization and range from a 4.1 percent decrease to a 20.7 percent increase.
2027 plan design update
The deductibles, coinsurance percentages, and out-of-pocket maximums (“cost-sharing amounts”) for all plan options will change effective January 1, 2027, as described in the summary of the 2027 plan design.
The WELS VEBA Commission reviewed with its consultants and actuaries the benefit levels provided by WELS VEBA and other employer plans in its peer group. The commission found that WELS VEBA benefit levels are generally higher than most other plans mainly because, unlike other plans, the WELS VEBA cost-sharing amounts have not increased in recent years to maintain pace with cost inflation.
Joshua Peterman, director of WELS Benefit Plans, says, “The commission has kept WELS VEBA cost-sharing amounts for plan options 1, 2, and 4 unchanged since 2014 to avoid shifting health care costs to workers and offer flexibility for organizations to determine the best cost-sharing approach given their financial resources and worker needs. However, the recent period of high-cost inflation caused the commission to increase WELS VEBA cost-sharing amounts so that they better align with industry standards and current health care cost levels, and to provide some rate relief to organizations.”
Worker benefit considerations
The commission encourages organizations to carefully review the 2027 WELS VEBA plan design update and consider any potential worker benefit changes that they may wish to make for the 2027 plan year. Additional information and assistance are available through WELS Benefit Plans resources.
Geographic rate region update
The three-year transition to the ultimate five-region rate structure will be complete as of January 1, 2027. The commission approved the new rate regions and rating factors so that WELS VEBA rates will better reflect current health care costs across the country. The regional rating factors applied to the 2027 rates are provided on each rate region’s 2027 health rates page. Incremental adjustments to the rate regions and regional rating factors will be made periodically so that WELS VEBA rates remain in line with local market conditions over time.
Fall 2026 limited open enrollment
The commission is offering a limited open enrollment period this November for new coverage effective January 1, 2027. Eligible workers serving at WELS and ELS sponsoring organizations that participate in WELS VEBA will have the opportunity to enroll for new coverage or make changes to their existing WELS VEBA coverage. Limited open enrollment materials will be mailed to eligible workers by the end of October.
Learn more about the WELS VEBA health plan at welsbpo.net.
