Governor Scott Walker is calling on lawmakers to approve a self-insurance model for state employees.
In a letter to the Legislature’s Joint Finance Committee, the governor says the state has successfully negotiated contracts with six companies to move state employee health plans to a self-insurance model. Walker says the move could save the state $60 million during the next budget cycle, part of which would go to boost education funding.
Lawmakers of both parties have so far been skeptical of the plan, with some Republicans raising doubts about the projected savings. There have also been concerns that it could force providers to cut staff, due to changes in the health care marketplace.