Virginia Beach schools concealed insurance costs from teachers, according to a lawsuit filed by more than 100 employees who allege a 110% premium hike was deliberately hidden until after they signed their 2025-2026 contracts. The plaintiffs say the $19 million increase is fraudulent and represents a failure by administrators to protect staff healthcare benefits.

The teachers and staff claim the $19,000,000 increase amounts to fraud and inducement. The employees further claim the increase is not the result of normal increases in healthcare costs but in a deliberate decision by administrators not to fund healthcare benefits for teachers.

Tim Anderson, a former Republican Delegate who is on the ballot this year, represents the staff in the lawsuit. He has waived his legal fees and is working with the teachers because he says it is the right thing to do.

Kimberly Miller, one of the teachers at VBCPS, told 10 WAVY News the increase would cost her an extra $3,000 this year. (RELATED: Loudoun County Restricts Public Comments)

“You just can’t treat people like that, and the law prohibits those kinds of deceptive fraudulent practices,” said Anderson. “What we’re asking the court to do is enjoin the city from imposing the higher premiums.”  

Administration and the school board have known since November that this rate increase would happen but allegedly withheld that information from teachers. Administrators claim the cheaper premiums were a result of one-time subsidies and the increase brings teachers up to the same costs that other city employees pay.

According to Anderson, the City Manager allocated funds to continue the subsidy, but VBCPS Superintendent Donald Robertson’s office left this subsidy out of their budget. (RELATED: $609M Shock: Virginians Pay Price for ‘Clean’ Energy Push)

Anderson is also representing a group of students who claim Virginia Public Schools administrators fabricated a racial incident to unjustly punish students at Kellam High School. He previously represented House District 83 from 2021-2023 and now faces Democrat Michael Feggans in the race for HD97.