Kennedale officials on Tuesday approved switching the city’s employee medical coverage to UnitedHealthcare after a formal sealed‑bid process run by the city’s broker, Princeton Benefits.

Jennifer Jacobs, director of client services at Princeton Benefits, told the council that the incumbent Blue Cross Blue Shield proposed a renewal starting at a 28.93 percent increase, which the broker negotiated down to 15.9 percent. UnitedHealthcare’s bid, Jacobs said, proposed slightly improved benefits at 2.67 percent below the city’s current costs, yielding an estimated annual savings of $38,182.

“By law, there’s no preexisting condition limitation,” Jacobs said in response to a council question about continuity of care for conditions such as cancer. City staff confirmed the decision applies to active employee coverage; retiree coverage was not part of the presentation.

The council voted to authorize the city manager to sign contracts covering medical, dental, life, vision and voluntary life and accidental death and dismemberment plans. The Blue Cross dental plan showed a proposed 3 percent increase, which Jacobs recommended accepting as part of the overall benefit package.

Council and staff said they plan to provide standard employee communications about the change and that existing employees will not face preexisting‑condition exclusions due to the switch of carriers.