Church Pension Group releases 2016 Denominational Health Plan annual report

Posted Feb 23, 2017

[Church Pension Group press release] The Church Pension Group (CPG), a financial services organization that serves the Episcopal Church, released the Episcopal Church Medical Trust (Medical Trust) 2016 Denominational Health Plan (DHP) Annual Report.

“This past year we continued to provide a comprehensive healthcare benefits program that not only meets our clients’ unique needs, but also remains affordable when compared with similar options in the broader marketplace,” said John Servais, senior vice president of benefits policy and design at CPG. “We remain focused on cost containment. The DHP helped us deliver a single-digit average rate increase of 5.5 percent for the 2017 plan year, which compared favorably to exchange rate increases that averaged 24 percent.”

In 2016 the Medical Trust advanced a number of key DHP initiatives, including:

  • Maintaining robust participation in the DHP, with approximately 95% of all eligible clergy and lay employees participating in a Medical Trust plan or obtaining health care coverage through other approved sources.
  • Delivering cost containment that continues to be passed on to the Church; since 2009, most dioceses have received annual rate reductions or low single-digit annual increases.
  • Supporting dioceses in determining the most optimal array of plans to meet the needs of their groups.
  • Maintaining a strong financial position with rates that are competitive in most markets.
  • Continuing to advance the issue of parity.
  • Remaining compliant with the Affordable Care Act (ACA) by implementing required tax reporting and plan design changes, while continuing to assess and plan for solutions should the “Cadillac Tax” be implemented in 2020.
  • Absorbing $626,000 in required ACA fees rather than passing these fees along to participating dioceses and institutions.

Servais continued, “There is a great deal of uncertainty surrounding the ACA, but we are actively monitoring the policy changes that have been proposed by the new Administration and Congress. As a member of the Church Alliance we work with other denominations to monitor developments in Washington, D.C. as they relate to healthcare and other benefits offered by church-related organizations. Our goal is to ensure that the DHP will continue to meet the needs of our clients.”

About The Denominational Health Plan

The DHP, established in July 2009 by the General Convention of the Episcopal Church through Resolution 2009-A177 and its associated canon, continues to help domestic dioceses, parishes and other institutions subject to the authority of the Episcopal Church control the rising costs of healthcare. The 2016 annual report, published pursuant to General Convention Resolution 2012-B026, summarizes more recent developments with the DHP. 

About The Episcopal Church Medical Trust

The Episcopal Church Medical Trust is an employee healthcare benefits organization that utilizes market-leading health networks to offer benefit plans for active clergy and lay employees, seminarians, and eligible dependents, and Medicare supplement health plan options to retirees and spouses. Benefits and offerings include the following: health, pharmacy, dental, vision, and hearing plans; an employee assistance program; and health advocate, mental and substance abuse, and travel protection services.

About The Church Pension Fund

The Church Pension Fund is an independent financial services organization that serves the Episcopal Church. With approximately $12 billion in assets, CPF and its affiliated companies, collectively the Church Pension Group (CPG), provide retirement, health, and life insurance benefits to clergy and lay employees of the Episcopal Church. CPG also offers property and casualty insurance as well as book and music publishing, including the official worship materials of the