The Public School Employees Health Benefits Trust Act establishes a new trust fund dedicated to providing affordable health insurance coverage for public school employees and their dependents in New Jersey, with operations set to begin on January 1, 2028. The act outlines the governance structure of the trust, which will be overseen by a board of trustees appointed by the Governor, and mandates that the State provide startup financing. The board is responsible for managing trust assets, setting contribution rates, and ensuring compliance with laws, while also being granted the authority to adopt bylaws and conduct audits. The act emphasizes fiscal responsibility and the provision of comprehensive health benefits, including independent audits and actuarial analyses to monitor the trust's financial health.

Additionally, the bill mandates that employers provide health insurance coverage exclusively through the newly established trust, prohibiting participation in other insurance programs. It outlines specific contribution requirements for employees and retirees, ensuring that contributions are based on salary or retirement allowance, and allows for modifications to contribution rates starting in 2028. The bill also establishes an internal appeals process for beneficiaries to contest claim denials and includes provisions for the eligibility of children with disabilities for continued coverage. Overall, the act aims to streamline health insurance coverage for school employees while preserving their rights and benefits, with a clear transition plan for employees currently enrolled in other health plans.

Statutes affected:
Introduced: 52:14-17.46.13, 18A:1613.2, 52:1417.46.14, 52:14-17.46.16