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Worthington schools expect large jump in medical insurance costs; insurance committee to meet again
Summary
Assistant Treasurer Brian Cotro told the board health insurance claims and provider trend increases could push district premium costs roughly 15% higher; the district’s negotiated employee agreements make employees responsible for 70% of premium increases above 8%.
Assistant Treasurer Brian Cotro told the Worthington Board of Education on Aug. 4 the district is experiencing significantly higher medical insurance claims combined with provider trend increases, and that the district faces an approximate 15% increase in premiums if no plan changes are made. Cotro said the district’s multi-year average increase over the past decade was about 3.13 percent, and that current inflation and local provider changes have raised trend to around 8–9.5 percent; without action, the combined effect puts the district near a 15 percent increase in total costs. He noted a clause in the district’s negotiated employment agreements that requires employees to pay 70 percent of premium increases above 8 percent, and the insurance committee has scheduled another meeting Aug. 12 to review options. Board members and committee chair Jennifer Best and other trustees said they appreciate the district’s history of low increases and thanked staff for working on mitigation options; Cotro said staff hope claims will settle and that meetings will continue to explore plan changes to reduce costs. No specific plan changes, premium amounts, or staffing impacts were approved at the meeting; further recommendations were to be discussed in the committee meeting on Aug. 12.
