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Serious threat of cost shifting

Weekly Update, January 16, 2026: This week our focus returns to the important topic of health insurance and overall healthcare policy here in Massachusetts. Not only are we amid a healthcare affordability crisis, but rising costs now threaten both the cost and quality of retiree and employee benefits. Mass Retirees is engaged in these issues on several different fronts: From pushing for legislative changes that protect the rights of retirees to high quality and affordable healthcare, to advocating for reforms that will truly address the systemic drivers of rapidly rising healthcare costs. On Wednesday, Governor Maura Healey announced the formation of a Health Care Affordability Working Group, along with regulatory changes that would end the need for prior authorization for many “routine and essential” healthcare procedures. While we are encouraged by steps aimed at lowering costs and streamlining services over the long-term, Mass Retirees is deeply concerned that short-term cost containment appears to focus solely on what can only be described as cost shifting. Our concerns were heightened on Thursday, when the state’s Group Insurance Commission met to discuss potential plan design changes for FY27 – nearly all of which shift costs onto the backs of active employees and retirees. The roughly ten changes under consideration, which will be voted on by the 17-member Commission in February, are geared toward containing the growth of the GIC’s budget for FY27. Adding to our concern that out-of-pocket costs may increase and plan benefits degraded is the fact that the GIC’s plan design can quickly be implemented at the local level and have the same negative impact on municipal retirees and employees. While several GIC Commissioners expressed concern and skepticism over the proposed changes, it is deeply troubling that retirees and employees may once again be forced to shoulder higher costs – especially when health insurance is already increasingly unaffordable for many. Our hope is that the majority of the 17-member Commission pushes back against the changes and vote NO at the GIC’s meeting on February Thursday, February 12th. Mass Retirees members should look to today’s Weekly Update email for full details on these issues and more. The Weekly Update is emailed to all members every Friday morning at 6:00 AM. If you are not currently a member of the Mass Retirees Association, please join today using the links below. Given the fight public retirees now face, maintaining a strong well-informed membership is more important than ever. The financial security and peace-of-mind of retired Massachusetts public employees depends on it! Founded in 1968, Mass Retirees is a private statewide nonprofit membership association advocating on behalf of ALL retired Massachusetts public employees and surviving spouses. If you are a retired Massachusetts public employee, but not currently a member, please join today at https://massretirees.com/new-members-... We also offer an Associate Membership option to allow active public employees nearing retirement age to subscribe to our Weekly Update, newsletter, and other informational resources that will keep you well informed and help you better prepare for your future retirement. Subscribe today at https://massretirees.com/subscribe/