HomeMy WebLinkAboutInsurance Committee Minutes 07.12.2001INSURANCE COMMITTEE MINUTES
JULY 12, 2001 5:00 P.M.
OLD COUNCIL CHAMBERS
MEMBERS PRESENT:
OTHER PRESENT:
Chairman Mark Mace
Bud Johnson
Ken Olson
Les Dienes
Bud Arnold
Guy Ro~son
Mary Embleton Chuck Rodgers
Dave Allen, Western States Insurance agent
Dave reviewed the four proposals fi.om Blue Cross/Blue Shield (attached to these
minutes) and stated that the vision endorsement was included at no extra cost. He also
compared the different provision levels of the plans through the brochures. He went into
detail explaining the "point of service" plans and how they differed fi.om the HMO plan.
Questions fi.om different members followed, including dependents that live out of state.
Under the BC/BS plans, a covered dependent is defined as age 25 or younger, and
dependent of the subscriber. Dave will check on how the point of service plans apply to
out of state dependents.
A union meeting was held last night, and they chose Blue Select. It is the plan closest to
their current plan, but still has fewer benefits, such as a $100 deductible for prescriptions.
Dave also explained the differences in vision benefits.
Les had asked if the city had done any shopping for different carriers, and was told that it
had not been done due to time constraints. Bud suggested that it be done for next year, at
least 60 days prior to renewal in order to gather health statements fi.om employees.
Dave reported that he had checked into the city's option of joining an association, namely
the MMIA. It was not a good year to do so due to the high claims history, and the
coverage offered through the association would be less.
Another option the city may consider in the future is a flex plan. Dave explained the
concept again, but stated that the city would need about 100 employees to make it work.
It does encourage choosing benefits that are not covered by a working spouse, thereby
eliminating "double coverage"
Dave then reviewed the Blue Select plan in detail, comparing it to the current YCHP
plan, and then compared it to the Blue Choice plans. The big exposures in the Blue
Choice plans are in hospitalization and maternity. Any level "B" areas are more out-of-
pocket.
In closure, Dave stated that the highest level of benefits per type of plan start with an
HMO, then a Point of Service plan, then a PPO plan, and finally an Indemnity plan.
Insurance Committee
July 12, 2001
Page 2.
The budget needs additional work to determine the city's position financially, so the
committee will try to meet again next week. The meeting adjourned at 6:43 p.m.
Respectfully submitted, ~ __
Mary K. Ethbleton
Clerk/Treasurer