AK HB21

School districts and the University of Alaska may elect to participate in group health insurance policies or self-insurance coverage provided by the Department of Administration, covering their employees alongside state employees.

Participating school employers must contribute to the group health and life benefits fund at rates set by the commissioner of administration and reimburse the state for excess loss insurance costs and the first four months of self-insurance claims, with reimbursement allowed over 10 years.

School boards and the University of Alaska Board of Regents are authorized to establish and maintain participation in health insurance policies under new AS 14.27.010, with employees potentially required to share costs subject to collective bargaining agreements.

The public education fund may expend up to $100,000,000 over 10 years to cover self-insured school district employee claims, with reimbursement back to the education fund using future appropriations.

School districts with existing self-funded insurance reserves must transfer closing balances to the state benefits fund within 30 days of enrollment, with amounts offsetting reimbursement obligations; the act takes effect July 1, 2024.