WEA Trust revenue declines nearly $70 million
“We are weathering the storm,” says Mark Moody, president and CEO of health insurer WEA Trust. Image by Mark Hoffman
MILWAUKEE (AP) -- The nonprofit insurer that covered about two-thirds of Wisconsin school districts last year has seen its revenue decline almost $70 million after the state gave districts more freedom to switch insurers.
But WEA Trust says it's still in good shape. Spokesman Steve Lyons says the insurer is expanding its customers from just school districts to municipalities and individual state employees.
The insurer's business took a hit after Gov. Scott Walker eliminated certain collective bargaining rights for most public employees.
Walker's office touts data showing that 52 school districts that switched carriers saved a total of $30 million.
Some districts said they had liked WEA Trust but switched to save money. But other stayed, saying WEA Trust's coverage has been so good over the years that it wasn't worth changing.