AUSTIN – Texas' health insurance plan for teachers was launched 5 years ago to save teaching jobs in the smaller school districts which has rapidly evolved into one of the biggest programs, signing up nearly nine in 10 districts with 335,000 employees and dependents. Officials with the Teacher Retirement System of Texas, which oversees the TRS- Active Care health insurance plan for teachers, predict that it is only a matter of time before most public school employees join the program because of its cost benefits.

The plan has developed to about 900 districts; including Dallas, Arlington, Fort Worth, Richardson and Lewisville. A majority of school districts in Dallas County are in the program, as are most independent charter schools in the state. And as it grows, new battles over coverage, what teachers must pay, and how much the state contributes to fund teachers' health care could be ahead. "Eventually, you will see the plan cover all school employees in Texas," said Linus Wright, vice chairman of the TRS board and former superintendent of the Dallas school district. "Just as it happened in the Dallas school district, it is reaching a point in many districts where it is becoming too expensive to maintain a separate health plan."

Mr. Wright noted that premiums have held fairly stable in recent years. While premiums increased 7% for the plan's three coverage options before the current school year, there was no increase two years ago and there will be no increase for the 2008-09 school year. "It's unusual for a health plan to avoid premium increases these days," he added. "We have a very large group to keep premiums down, and the claims are carefully supervised."