AG 1999 04 19 - Laserfiche WebLink

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IC, BAltIIUS COUNIYI NORrH CAROLINA MEMORANDUM To: Cr~arms County Board of Commissioners From:~'Don Moorhead, Human Resources Director Date: April 13, 1999 Subject: Employee Health Insurance Renewal for FY 1999-2000 It is requested that the Board of Commissioners approve employee health insurance coverage for FY 1999-2000 through the fully insured HMO and Point of Service programs offered by The Wellness Plan. The rates for the different categories of coverage are listed on the bottom of the attached chart. With an annual medical cost trend of 7-8% and a high rate of benefit usage, it has continued to be a challenge to provide quality insurance at a reasonable cost. The rates for The Wellness Plan reflect the positive impact of our cost containment efforts: · Reduced rates for participating along with Concord, Kannapolis and the Cabarrus Health Alliance in a health insurance coalition. · Increased employee copayment amounts: -: Doctor's office visit From $5 or $10 to $20 - Prescriptions From $5/5 or $5/15 to $10/17 - Hospital admissions From $0 to $250 These rates will increase the cost of providing county paid employee health insurance 'by $28,000 (2.2%) per year for a total of $1,266,000. Employee paid premiums for children or spouse coverage will be reduced or have moderate increases in majority of the cases. · There will be an average 10.6% increase in employee paid cost for family coverage. This recommendation is again based upon bids solicited jointly with the other members of the health insurance coalition. Nine plans (including 4 self-insured) were considered before selecting The Wellness Plan based upon service and cost factors. Human Resources Department P. O. Box707 · Concord, NC 28026-0707 · (704)788-8100 * Charlotte 375-0829