Office of Insurance Commissioner
|Annual FTEs||General Fund State||Other Funds||Total Funds|
|(Dollars in Thousands)|
|2019-21 Maintenance Level||246.0||0||66,135||66,135|
|Difference from 2017-19||(0.1)||0||1,212||1,212|
|% Change from 2017-19||(0.0%)||0.0%||1.9%||1.9%|
2019-21 Policy Other Changes
|Consumer Access to Providers||5.0||0||1,177||1,177|
|Fighting Criminal Insurance Fraud||5.0||0||1,913||1,913|
|Enterprise Content Management||0.0||0||599||599|
|Fair Insurance Rates||2.0||0||486||486|
|2019-21 Policy Other Changes Total||13.0||0||4,502||4,502|
2019-21 Policy Comp Changes
|State Public Employee Benefits Rate||0.0||0||13||13|
|WFSE General Government||0.0||0||1,689||1,689|
|State Rep Employee Benefits Rate||0.0||0||25||25|
|Non-Rep General Wage Increase||0.0||0||862||862|
|Non-Rep Premium Pay||0.0||0||76||76|
|Non-Rep Targeted Pay Increases||0.0||0||30||30|
|PERS & TRS Plan 1 Benefit Increase||0.0||0||52||52|
|Non-Rep Salary Schedule Revision||0.0||0||92||92|
|2019-21 Policy Comp Changes Total||0.0||0||2,839||2,839|
2019-21 Policy Transfers Changes
|Orca Transit Pass Funding Transfer||0.0||0||(32)||(32)|
|Health Coalition FSA Fund Transfer||0.0||0||(18)||(18)|
|2019-21 Policy Transfers Changes Total||0.0||0||(50)||(50)|
2019-21 Policy Central Services Changes
|CTS Central Services||0.0||0||(63)||(63)|
|DES Central Services||0.0||0||29||29|
|OFM Central Services||0.0||0||197||197|
|2019-21 Policy Central Services Changes Total||0.0||0||292||292|
|Total Policy Changes||13.0||0||7,583||7,583|
|2019-21 Policy Level||259.0||0||73,718||73,718|
|Difference from 2017-19||12.9||0||8,795||8,795|
|% Change from 2017-19||5.2%||0.0%||13.5%||13.5%|
Consumer Access to Providers
Health insurance carriers promise consumers reasonable and timely access to in-network health care providers for all benefits and services covered under the health plan contract. When consumers are unable to access health care benefits because the carriers do not have enough health care providers under contract, they are being denied services for which they have already paid premiums. The increasing complexity of health care provider network design and provider contracting demands additional oversight of carrier health care networks and timely review of provider contracts. Five positions are funded to address the increasing volume and complexity of provider contracts, provider networks and consumer complaints, and to provide speed to market for provider contracts and cost-effective networks.
Fighting Criminal Insurance Fraud
The number of criminal insurance fraud referrals to the Office of Insurance Commissioner (OIC) from insurance companies and licensees, as required by law, as well as from citizens and other agencies, have increased substantially over the last seven years. The lack of resources to properly and timely evaluate and investigate referrals allows criminal enterprises to continue illegal activities in Washington. Early detection and action are critical to effectively combat insurance fraud. Detective and research staff are provided to enhance the work of the agency’s criminal investigations unit.
Enterprise Content Management
Over the past several years, the Office of Insurance Commissioner (OIC) has modernized many of its interactions with the entities it regulates and the consumers it protects. The number of electronic records created and received by the OIC continues to grow exponentially. Current systems for records management cannot keep up, exposing the OIC to inefficiencies and risks related to record integrity and security. Funding is provided for the implementation and maintenance of an enterprise content management system.
Information security is an ever-changing and increasing threat. Cyber threats, data breaches, and electronic malice from outside entities are constantly evolving. Additionally, state and federal technology compliance requirements and data security investments continue to change and require additional oversight. A dedicated information security resource will mitigate risk, maintain and improve data security dependencies and investments, and provide data security education to the agency.
Fair Insurance Rates
The Office of Insurance Commissioner (OIC) is responsible for the review and approval of rate filing documents (filings) insurance companies use when determining how much to charge consumers for insurance. For property and casualty insurance, the volume and complexity of rate filing documents have increased significantly beyond what the OIC can manage with current staffing. Funding is provided for two actuarial analyst positions to address this increased workload and increase the speed to market of property and casualty insurance products.
State Public Employee Benefits Rate
Health insurance funding is provided for state employees who are not represented by a union, who are covered by a bargaining agreement that is not subject to financial feasibility determination, or who are not part of the coalition of unions for health benefits. The insurance funding rate is $977 per employee per month for fiscal year 2020 and $978 per employee per month for fiscal year 2021.
WFSE General Government
Funding is provided for a collective bargaining agreement with the Washington Federation of State Employees - General Government. The agreement includes a general wage increase of 3 percent, effective July 1, 2019; a general wage increase of 3 percent, effective July 1, 2020; premium, shift, and other special pay changes, and increases in targeted job classifications. Employee insurance included in the agreement is displayed in a separate item.
State Rep Employee Benefits Rate
This provides health insurance funding as part of the master agreements for employees who bargain for health benefits as part of a coalition of unions. The insurance funding rate is $977 per employee per month for fiscal year 2020 and $978 per employee per month for fiscal year 2021.
Non-Rep General Wage Increase
Funding is provided for wage increases for state employees who are not represented by a union or who are covered by a bargaining agreement that is not subject to financial feasibility determination. It is sufficient for a general wage increase of 3 percent, effective July 1, 2019, and a general wage increase of 3 percent, effective July 1, 2020. This item includes both general government and higher education workers.
Non-Rep Premium Pay
Funding is provided for increases in premium pay for state employees who are not represented by a union or who are covered by a bargaining agreement that is not subject to financial feasibility determination. Funding is sufficient to support changes in shift differential, call back and standby pay, as well as a 5 percent increase for employees working in King County.
Non-Rep Targeted Pay Increases
Funding is provided for classified state employees who are not represented by a union for pay increases in specific job classes in alignment with other employees.
PERS & TRS Plan 1 Benefit Increase
For eligible Public Employees' and Teachers' Retirement Systems Plan 1 members, this item provides a one-time, ongoing increase of 3 percent, up to a maximum of $62.50 per month.
Non-Rep Salary Schedule Revision
This funds a revised salary schedule for non-represented employees in information technology jobs, in alignment with other state employees.
Orca Transit Pass Funding Transfer
This moves funding for employee transit passes from agencies to WSDOT, which administers the program. The transfer includes both funding added in 2019-21 for expanded access, as well as funding that was provided in the 2017-19 budget.
Health Coalition FSA Fund Transfer
This moves funding for negotiated medical flexible spending arrangements (FSA) from individual agency budgets. It will be provided to the Health Care Authority, which will administer the benefit.
Agency budgets are adjusted to reflect each agency’s allocated share of charges for the state archives and state records center.
Agency budgets are adjusted to reflect each agency’s allocated share of charges for state government audits.
Agency budgets are adjusted to reflect each agency’s anticipated share of legal service charges.
Agency budgets are adjusted to reflect each agency’s anticipated share of charges for administrative hearings.
CTS Central Services
Agency budgets are adjusted to reflect each agency’s allocated share of charges from the Consolidated Technology Services Agency (WaTech) for the Office of the Chief Information Officer, Office of Cyber Security, state network, security gateways, and geospatial imaging services.
DES Central Services
Agency budgets are adjusted to reflect each agency’s allocated share of charges from the Department of Enterprise Services (DES) for campus rent, utilities, parking, and contracts; a capital project surcharge; financing cost recovery; public and historic facilities; real estate services; risk management services; personnel service rates; the Perry Street child care center; and the department’s enterprise applications.
OFM Central Services
Agency budgets are adjusted to reflect each agency’s allocated share of charges from the Office of Financial Management (OFM) for the One Washington project and OFM enterprise systems.