NC’s retired state workers face higher health costs in 2027. Here’s what to know
The North Carolina State Health Plan board of trustees voted in early June to raise out-of-pocket costs for retirees on Medicare Advantage plans starting in 2027. The changes drew pushback from retiree advocates who say fixed-income members can’t absorb the increases.
FULL STORY: NC State Health Plan board approves higher costs for some retirees in 2027
Here are key takeaways:
- The annual out-of-pocket maximum will rise from $4,000 to $4,500 for Base Plan members and from $3,300 to $3,700 for Enhanced Plan members. Copays for several medical services will also increase by $10 to $75.
- The changes affect roughly 176,800 retirees enrolled in Humana Medicare Advantage plans as of April — 157,800 in the Base Plan and 19,000 in the Enhanced Plan.
- Retiree advocates told the board the increases would hit hard. Suzanne Beasley of the State Employees Association of North Carolina said retirees’ buying power is down about 30% and the changes will be “pretty unbearable.”
- State Treasurer Brad Briner acknowledged concerns but said rising medical costs left little choice. The plan is working to close a previously projected $1.4 billion shortfall for 2027.
- Non-retiree members will see a new preferred provider system in 2027, with lower costs at preferred providers and higher costs — including deductibles and coinsurance — at non-preferred ones. More votes on premiums and contracts are expected in July.
The summary points above were compiled with the help of AI tools and edited by journalists, including politics editor Jordan Schrader. The full story in the link at top was reported, written and edited entirely by journalists.
This story was originally published June 16, 2026 at 7:00 AM with the headline "NC’s retired state workers face higher health costs in 2027. Here’s what to know."
Luciana Perez Uribe Guinassi
The News & Observer