Nassau County is receiving a credit of nearly $2 million for Medicare Part D on next month’s state health insurance program bill, according to County Comptroller George Maragos.
The credit is because Nassau paid the insurance program too much in 2011 and in the last quarter of 2012. Payments were based on estimated usage, and usage was less than had been anticipated and budgeted, Maragos said.
The overpayment and resulting credit — $1,928,141.28 — will be applied to next month’s premium payments. After that, the comptroller will wait for the premium bill from the previous month to make payment. Nassau pays an average of $20 million a month in premiums.
“With the year after year increases to the cost of health insurance, receiving nearly a $2 million subsidy is welcomed,” Maragos said. “The better part is that going forward the subsidy is built right into the monthly premium cost as opposed to having to wait for a credit for months at a time.”
The New York State Health Insurance Program is the nation’s largest public employer health insurance program, outside of the federal government’s. NYSHIP provides coverage to more than 1.2 million state and local government employees, retirees and their families.