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City Renews Health Insurance Plan

By Staff | Oct 18, 2016

Emmetsburg City Council voted unanimously to remain with the current health insurance plan for another year. Health insurance premium renewal rates will increase for the year begin- ning Dec. 1.

Brian Campbell, chair of the Finance, Ordinance and Personnel Committee, reported to the full council at their Monday, Oct. 10 meeting. The committee had met Oct. 6 to consider health insurance plan recommendations. Committee members Campbell, Bill Burdock, and Mike Hermansen attended.

“We discussed health insurance for city employees, realizing there is going to be about a 25-percent increase in premiums for next year with the same coverage, the same plan,” said Campbell.

He noted that the committee looked at two or three other plans. There was not a significant savings in premiums for any of the other plans, but quite a reduction in benefits for the employees in the other plans.

“We also looked at down the road a ways and the reason for our recommendation is next year we may be looking at having to be part of the Affordable Care Plan,” said Campbell. “If we have to do that, our premiums are going to increase 90-percent over what they have been this last year.”

In his brief to council members, City Administrator John Bird stated, “The upcoming plan year will be the last during which the city can offer a non-Affordable Care Act-compliant plan. Based on information Susie Pinckney of Benefit Resources of Iowa provided us, the costs of Affordable Care Act-compliant plans will be significantly higher than those of our current, grandfathered plan.”

Campbell told the council, “Beings we’re only looking at one year, we decided not to make any major changes, not to make any changes at all, in the health plan for the employees for the coming year.

“It is our recommendation that we continue with the health insurance plan we presently have in place,” said Campbell.

The motion passed unanimously among the council.