Health insurance claims catch up with county
Commission approves higher deductible, co-pay
Staff reporter
After receiving more than $364,000 in refunds from Blue Cross/Blue Shield during the past three years, Marion County Commission was told Feb. 28 that health insurance rates for county employees were going to increase 36 percent.
BC/BS representative Tim Oglesby said the county had experienced an anomaly with the refunds during the past several years and eventually the trend was going to change, and now it had.
During 2006, county employees had required more health care than anticipated. Five of the claims totaled more than $625,000, Oglesby said.
If the county decided to continue coverage with BC/BS, premiums would significantly increase.
Currently, the county pays for single health insurance for all full-time employees. That cost is $307 per month. Family coverage is $377 which the employee pays.
After discussion during Monday's meeting, the commission decided to increase the current deductible from $500 per year to $1,000 and the co-pay from $1,000 to $2,000.
If the county would have stayed with the same BC/BS insurance plan, monthly premiums would have increased to $420 for single coverage and $512 for family.
County clerk Carol Maggard said the refunds were placed within an employees fund in the general fund to be used for such a scenario. When refunds were issued in previous years, county employees who contribute to family policies were given an appropriate percentage of the refund amount.
Oglesby complimented Maggard for handling the refunds in the appropriate manner.
The representative explained that the insurance company had made some adjustments to its coverage that included an increase of $5 for co-pays for doctor's visits (from $20 to $25 per visit), a minimum of $100 per emergency room visit if hospitalization does not occur, and changes in accidental injury claims that will pay claims for the first $1,000 with the remainder being subject to the employee's deductible and co-pay.
"You'll find lower rates," Oglesby said, but he said there may be other concerns in the long run.
"Blue Cross/Blue Shield is the only insurance company that gives refunds," he said.
Commission chairman Randy Dallke asked Oglesby to provide short-term disability insurance information.
The commission also approved an option for employees to pay the difference in premiums to have a $500 deductible and $1,000 co-pay. There must be a minimum of five employees in the plan for BC/BS to allow this option.
