2025 VEBA open enrollment and rate changes

The WELS VEBA Commission will offer a limited open enrollment this fall for eligible workers at participating organizations to join the WELS VEBA health plan, effective Jan. 1, 2025. Limited open enrollment materials will be mailed to eligible workers and organizations by the end of October.

Due to the rising costs of health care and prescription drugs, 2025 VEBA rates will increase by seven percent for all plan options. This inflation-driven increase is in line with projected average national increases in 2025 and is necessary to ensure that the VEBA plan remains well funded to provide benefits for called workers and their families. In addition, new geographic rate regions and rating factors—determined now by zip code rather than state—will be implemented beginning in 2025. This means that the total 2025 VEBA rate change for an organization will be determined by its location and will comprise a combination of the overall seven percent increase and the organization’s regional rating factor. Total 2025 VEBA rate changes will vary from a 0.7 percent decrease to an 18.9 percent increase, depending on the rating factor that applies to a particular region.

The WELS VEBA Commission approved the new rate regions and rating factors so that WELS VEBA rates will better reflect current health care costs across the country. The new regional rating factors will be implemented over three years (2025 through 2027) to ease the financial impact to organizations. With the three-year transition period, the regional rating factor that applies to an organization’s rates for 2025 will also apply to that organization’s rates for 2026 and 2027.

Learn more about the 2025 rate change and find the 2025 VEBA rates for your organization.