Producers Guild launches health insurance plan for Hollywood producers
What's the story
Nearly 74 years after its formation, the Producers Guild of America leveraged its annual awards ceremony on Sunday night (local time) to launch a health insurance coverage plan for working producers in the Hollywood industry.
"Producers, unlike unionized creative professionals in the industry, lack guaranteed health insurance benefits," PGA presidents Stephanie Allain and Donald De Line revealed at the awards held at Ovation Hollywood's Ray Dolby Ballroom in Los Angeles.
"Until now," Allain declared.
Context
Why does this story matter?
Unlike unions such as the WGA (Writers Guild of America), DGA (Directors Guild), or SAG-AFTRA (Screen Actors Guild), the PGA does not participate in collective bargaining due to the managerial roles of many members.
This limits the guild's ability to consistently offer protections and benefits to its members.
Notably, the push for health insurance solutions was inspired by member Harvey Wilson and supported by past presidents Gail Berman and Lucy Fisher during their 2018-2022 tenure.
Support
Prominent production companies pledged support
Several production companies, including Blumhouse, Berlanti Productions, Legendary, and MACRO, have already committed to advocating for producer health insurance in their budgets.
Jason Blum, CEO and founder of Blumhouse, stated, "Producers are the only group of creative professionals without a union on set, so we have to look out for each other."
"Taking care of our own is good business, good for families, and good for our industry," he added.
Options
Plan: Two options for health insurance fund contributions
The PGA's plan reportedly offers two ways for major organizations to contribute to a health insurance fund for qualified full-time producers.
One option involves studios making employee contributions to industry-wide health insurance programs like the Motion Picture Industry Pension and Health Plan (MPI).
Another option is to add a direct payment line item to production budgets for eligible producers to purchase their own health insurance.
Insights
Additional cost factors in production budgets
To help producers buy private insurance, the PGA recommended adding an extra $3.33 per hour to their pay.
While this may be a tough sell given the financial strain on traditional Hollywood studios, the PGA believes that providing health insurance coverage is crucial for the well-being of producers and their families.
The overarching goal is to ensure that a majority of eligible members have coverage by 2026.