City officials have approved significant changes to the dental insurance plans for active employees in San Francisco, aiming to reduce costs and improve access to dental care. During a recent meeting, the San Francisco Health Service Board unanimously agreed to suspend the existing stabilization policy for the Delta Dental active employee PPO plan on a one-time basis. This decision allows for the use of two-thirds of the stabilization reserve surplus, amounting to approximately $7.4 million, to lower the rates for the upcoming 2024 plan year.

The board's action is expected to result in a 6.9% decrease in total rates for the self-funded Delta Dental PPO plan, benefiting city employees who currently pay minimal monthly premiums. The new rates will see employees contributing $5 for individual coverage, $10 for employee plus one dependent, and $15 for family coverage. Notably, there will be no changes to the rates for the fully insured Delta Care USA HMO and UnitedHealthcare HMO plans.

The decision to utilize a larger portion of the stabilization reserve was prompted by favorable claims experience, which has led to a substantial surplus in the dental plan. However, board members expressed concerns about access to dental providers, emphasizing the need for ongoing efforts to ensure that employees can effectively utilize their benefits.

Looking ahead, the board aims to return to a more standard approach to surplus management in future years, focusing on promoting preventive care among employees to enhance overall health outcomes. The approval of these changes marks a proactive step towards improving dental care accessibility for San Francisco's workforce while managing costs effectively.