Sablan said the CNMI government may be forced to increase the retirees’ health insurance premium because it can no longer afford to subsidize it at the current rate.
“We’ve been hearing that our current health insurance payments may go up as high as 100 percent,” he told the Variety.
A significant number of retirees are sick and need regular medications. Some have diabetes and have developed complications that also require constant medical care.
The government’s collections for its health insurance program, however, have never been enough — medical bills always exceeded revenues.
“We’re concerned about our health insurance and the continuity of our pension,” Sablan said. “Our retirees are paying their medical bills. Some of them have children who are still in college. It’s tough.”
Sablan is a former executive director of the Commonwealth Development Authority and the Northern Marianas Housing Corp.
He said the Retirement Fund’s investment portfolio faces a bleak future if authorities don’t address the pension agency’s financial problems.
