Updated September 15, 2018 09:16:04 NHL team owners are being told that a major change is coming to the way they activate their personal health care plan.
In a letter sent to owners this week, the NHLPA’s executive committee announced that, starting next season, owners will be able to purchase a new insurance plan for the entire league.
The change, which will be rolled out across all 50 NHL teams, is expected to save teams about $20 million a year and increase revenue by as much as $25 million per year, the letter states.
“The ownership team’s ability to choose a plan has been critical to our success in the long term, but we recognize that the timing of the new policy has created challenges in the short term and the long-term,” the letter says.
While the change will give teams more flexibility to manage their own health care, the change comes at a price.
Owners who choose a new health care provider will have to pay for it out of their own pocket, and will have the option of opting out at any time.
This will limit the amount of money the team can spend on its own care, and could potentially affect how the league spends money on player salaries and other costs.
The NHLPA, the union that represents more than 90 teams, said in the letter that it is “pleased that the new change is taking place and we are working with all stakeholders to work through the implementation.”
The union says that it will have a meeting in mid-October to discuss the changes.