state employee health plan evaluation
Review of employee health plan costs, claims, and coverage options
What to Watch
Watch for a side-by-side comparison of the current plan versus the State employee health plan, plus any renewal options that change benefits or employee cost-sharing.
Coming Up
Typically discussed at Personnel and Finance Committee. Check back when the next agenda is published.
The Story
The city’s employee health plan is running hot: officials said it paid out more than it took in during 2025 (117.84%) and stayed above 100% through May 2026. Staff warned that if that keeps up, renewal premiums could jump by double digits—pressure that can land on the city budget and, depending on choices, on employees too.
Record
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Staff told the committee health insurance costs are trending higher for 2026.
Personnel and Finance Committee -
The committee was told the current provider is still looking for ways to reduce plan costs.
Personnel and Finance Committee -
Staff said they will keep evaluating whether joining the State employee health insurance plan would save money.
Personnel and Finance Committee -
The committee reviewed claims trends showing the plan paid out more than it took in during 2025, described as a 117.84% loss ratio, and remained above 100% through May 2026.
Personnel and Finance Committee -
Staff warned that if claims remain above 100%, renewal premiums are expected to rise by double digits, increasing costs for the city budget and potentially employees.
Personnel and Finance Committee -
The carrier reported it is trying to influence utilization by offering free Teladoc visits and a gift-card incentive for enrollment.
Personnel and Finance Committee