COLUMBIA, S.C. - The state Budget and Control Board has approved a combination of premium and deductible increases and other benefit changes that will increase the amount state employees pay for health insurance.

An aging population and rising drug costs forced the state to raise costs to pay for more health care expenditures for the state, said state health plan director Rob Tester.

The changes approved Tuesday will save the state about $102 million a year when they go into effect at the beginning of next year, the board said.

Rates for single employees will go up more than $19 a month to $69. Rates for an employee and children also will increase $19 a month to $106.

For an employee and spouse, rates will increase about $38 to $189 a month. And for a full family, rates will increase $34 a month to $234 a month.

The system provides coverage for 370,000 people, including state employees, teachers, and local government workers and their families.

So far this calendar year, claims payments per person have gone up 12.6 percent, medical claims are up 9.1 percent and pharmacy claims have risen 20.7 percent, Tester said. To pay the claims, the state health plan required $162.5 million more from increased subscriber contributions or benefit changes, he said.

"It's sad. It's going to really impact families in the state," said Elizabeth Gressette, executive director of the Palmetto State Teachers Association. "But what are the choices? We're in hard times."

In addition to the rising health insurance premiums, state employees have not received raises for two years.

"Not only are they not getting an increase in pay, but more is being taken out," Gressette said. "It's a terrible thing."

Last month, the Budget and Control Board asked state workers to fill out a survey asking if they would like to deal with higher plan costs through higher premiums, reduced benefits or a combination of the two.

About 24,000 employees responded and most said they preferred some combination of the two options, board spokesman Michael Sponhour said.

Gov. Mark Sanford said he wants to consider other options for the plan next year, including possible changes in how it deals with Blue Cross and Blue Shield in administering the plan and offering benefit choices to employees.

Changes in the plan must be finalized by Aug. 15 so employees can make decisions about their coverage during an enrollment period in October.