The Biloxi City Council unanimously approved a resolution to continue a self-funded employee group health insurance program and related voluntary benefit arrangements on Aug. 26, keeping employee premium contributions unchanged.

Why it matters: The action preserves health coverage for city employees while the city absorbs an increase in plan costs rather than passing it on to workers, and it establishes the funding approach and vendors for the coming plan year.

Action taken. The council authorized a self-funded employee group health insurance arrangement with HealthGram (self-funded administrator), Rx Mississippi Physician Care Network and Unity (as listed in the resolution). Council members approved related resolutions authorizing voluntary life, long-term disability and cafeteria-plan administration by Colonial Life and other vendors. (Resolution motions were made and seconded and carried unanimously.)

Key details from discussion. Insurance advisers and council members said employees will not see an increase in their payroll contributions. Council members said the city will fund roughly $9.9 million toward plan costs and there is a defined risk corridor of approximately $1.0'$1.5 million. Sy (Cy) Easterly of Gallagher Insurance briefed the council and said four members who had higher-cost claims were "lasered" and three were subsequently removed from that list, reducing the city's potential liability by about $970,000, a change advisers characterized as a tangible risk reduction. (Sy Easterly, Gallagher Insurance.)

Voluntary benefits and related programs. The council approved separate resolutions authorizing voluntary life and long-term disability offerings (employees may elect and pay for these optional products) and a cafeteria plan administered by Colonial Life. Those measures were described as optional employee elections with no change to the city's base contribution policy.

What was not changed. Council members said there was no employee premium increase; the transcript does not record any changes to benefit design, eligibility rules or retirement-health benefits beyond the vendor and funding approval.