HomeMy WebLinkAboutAgenda - 09-02-1997 - 8j 1
Orange County
Board of Commissioners
Action Agenda Item Abstract
Meeting Date: September 2, 1997
Action Agenda
Item No.
Subject: Employee Health Insurance Renewal for 1998
Department: Personnel Public Hearing: Yes No X
Budget Amendment
Needed: Yes No X
Attachment(s): Information Contact:
Monthly Rates for Health Insurance Elaine Holmes, Personnel Director
Renewal Effective January 1, 1998 Extension 2550,
Telephone Number:
Hillsborough 732-8181
Chapel Hill 968-4501
Durham 688-7331
Mebane 227-2031
Purpose: To consider renewal of employee health insurance plans for 1998.
Background: Orange County offers three employee health plans:
Plan Plan Type
Blue Cross Preferred Provider Plan Preferred Provider Org.
Blue Cross Personal Care Plan Health Maintenance Org.
Healthsource Health Maintenance Org.
The two Blue Cross plans are provided through the North Carolina
Association of County Commissioners Health Insurance Trust.
The County's health insurance providers (the NCACC Trust and
Healthsource) have provided health insurance renewal rates for the
three health plans effective January 1, 1998.
The NCACC Trust rates provide for a three tenths (.3) percent rate
increase. Healthsource provides for a two to three percent increase
depending on coverage type (individual or dependent).
The Attachment shows the renewal health insurance rates effective
2
January 1, 1998. For each plan, the Attachment shows the total cost, "
County cost and employee cost. The rates on the Attachment continue
the partial County subsidy for the cost of dependent coverage at the
present 40 percent level.
The approved 1997-98 budget included funding for up to a 13 percent
health insurance increase effective January 1, 1998, The estimated
additional 1997-98 cost of the .3 percent increase is about $4,500.
This is a reduction of about $93,000 over the amount budgeted. The
total County cost for health insurance is about $1.5 million. Of this
about $345,000 is for dependent coverage.
Recommendation: The Manager recommends the Board approve continuation of the
current health insurance plans and adoption of the attached health
insurance rates effective January 1,1998.
f:\e\healabs1.doc
August 22, 1997
' Attachment 3
h
Orange County Employee Health Insurance
Monthly Rates For Renewal Effective January 1, 1998
Blue Cross and Blue Shield*
Personal Care Plan and Preferred Provider Plan
Total Cost Paid By County Paid By Employee
Coverage Old New Old New Old New
Employee Only $172.30 $172.80 $172.30 $172.80 $0.00 $0.00
Employee and 332.52 333.50 236.40 237.08 96.12 96.42
Child(ren)
Employee and 363.54 364.60 248.80 249.52 114.74 115.08
Spouse
Employee and 516.88 518.40 310.14 311.04 206.74 207.36
Family
Healthsource Plan
Total Cost Paid By County Paid By Employee
Coverage Old New Old New Old New
Employee Only $158.00 $161.00 $158.00 $161.00 $0.00 $0.00
Employee and 328.00 339.00 236.40 237.08 91.60 101.92
Child(ren)
Employee and 352.00 363.00 248.80 249.52 103.20 113.48
Spouse
Employee and 500.00 516.00 310.14 311.04 189.86 204.96
Family
* Blue Cross rates are contingent on a minimum participation rate of 65 percent. The NCACC
Health Insurance Trust reserves the right to recalculate the rates if participation drops below 65
percent after open enrollment.
Note: The Health Insurance Waiver Option continues at$25 per month for employees hired
1-1-96 and after and at$50 per month for employees hired prior to 1-1-96.
August 22,1997 (F:Pers\Hea1th\98New96.Doc)