Columbus City Schools and employee unions reached an agreement to implement an 8% health insurance premium increase for 2027. The district finances its employee medical claims directly through a fund, which suffered a $40 million shortfall in July.
Columbus City Schools Agrees to 8% Premium Hike
Columbus City Schools, the largest school district in Ohio, finalized an agreement with its employee unions to raise health insurance premiums by 8% in 2027. The district operates its health plan through a fund that pools district and employee contributions to pay medical claims directly.
A funding shortfall of $40 million in the insurance pool prompted the district to sever ties with the private consulting company previously responsible for managing the fund. Both public and private employers face climbing health coverage expenses driven in part by reduced federal subsidies under the Affordable Care Act, according to data from the non-profit group Commonwealth Fund.
National insurance costs face steep upward pressure heading toward 2026. The Commonwealth Fund reported that the median proposed premium increase for individual market coverage nationally is 18%, marking an increase more than double the rate proposed for 2025 and triple the adjustment seen in 2024.
Union and District Reactions to the 2027 Agreement
Superintendent Angela Chapman praised the collaborative effort required to reach the agreement with labor leaders.
“I am grateful to our labor leaders and the teams representing our many Columbus City Schools union members for working closely with us to ensure quality health benefits for CCS employees in 2027 and to make sure that we are all paying a fair share for these important benefits,” Chapman said in a statement.
However, Columbus Education Association president John Coneglio expressed deep concerns regarding the financial burden the new structure places on plan participants. Coneglio pointed to high out-of-pocket costs that affect employees who utilize the plan as well as those who cannot afford care.
“The 8% increase in the premiums is along with catastrophic out-of-pocket costs that hurt members who use the plan and hurt members who can’t afford to use the plan,” Coneglio told The Center Square. “It’s designed for people not to use insurance. We’re above $6,000 per person for co-pay.”