Officials just deadlocked on a 34% insurance hike for N.J. teachers -- but the fight isn't over

A New Jersey state commission deadlocked on Wednesday over a proposed nearly 34% health insurance cost increase for teachers and school employees, postponing the decision for a second time. The School Employees’ Health Benefits Commission voted 4-4 and will reconvene on Sept. 3. Members asked the state Treasury Department’s Division of Pensions and Benefits to submit a revised rate increase proposal and recommendations. Officials warned there may be insufficient time to adjust the 2027 rates before they take effect in January, citing a 2020 law known as “Chapter 44,” which limits changes to the public school employees’ plan before 2028. The actuary, Aon, recommended a 34.4% hike in active-employee premiums. Educators argued the increase could drive further budget cuts and layoffs.