VIRGINIA BEACH, Va. — Virginia Beach City Schools employees and retirees are facing a big increase in health insurance premiums.
“Outrage was the first feeling," Virginia Beach Education Association President Heather Sipe said.
Sipe has been a teacher with the school district for over 20 years. She said she’s not the only one feeling blindsided by the increase in insurance premiums.
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“Stress levels are going through the roof. We have fielded so many calls, people have come by the office," said Sipe.
An August 7 letter from Virginia Beach’s Consolidated Benefits Office informs school district employees they’ll have to pay between $2.04 and $210.97 more per pay period, depending on their plan, starting January 1, 2026.
For retirees, the increase is between $52.28 and $445.25 per month, depending on their plan.
“Such increases are going to wipe out any of the raise that our staff received," said Sipe.
The letter says the increase is due to the rising medical and pharmacy costs. It goes on to say, "We remain dedicated to managing plan costs, negotiating competitive provider and pharmacy contracts, and identifying cost-saving opportunities through wellness and preventive care initiatives."
Sipe said she’ll now be paying an extra $240 a month and will have to reassess whether she’s going to keep her kids, who are in college, on her insurance plan or not. She believes the district’s decision not to announce the premium increases sooner was intentional.
“They knew, but did not disclose, until after employment contracts were signed, in-service weeks had already started, and staff no longer had opportunities to seek employment elsewhere," Sipe said.
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At the August 12 Virginia Beach School Board meeting, Superintendent Dr. Don Robertson, Jr. acknowledged the district has had concerns about health care costs. He said the timing of the announcement was due to the district waiting as long as possible to see what would happen with health care costs before deciding to increase premiums.
“I certainly understand the sticker shock that the information provided to our staff," the superintendent said. "It’s a really difficult spot. I will tell you, it’s a one-year decision.”
He also noted the announcement that, despite the timing of the announcement, it still gives people a couple of months to decide what they want to do before they have to make their health care selections in October.
Sipe said the education association is exploring possible legal options to fight the increase.
