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Council approves multiple health‑insurance renewals; officials discuss premium increases and employee plan options

3666067 · May 7, 2025
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

The council approved renewals for pharmacy benefit managers and medical plans and discussed a 7.95% combined renewal for health insurance premiums; staff described efforts to negotiate increases and to offer a second fully in‑network plan to employees.

The Amsterdam Common Council approved a set of health insurance renewals covering pharmacy benefits, prescriptions sourcing and medical plans, and heard staff describe premium increases and plans for employee outreach.

Councilors approved contracts including Matrix Quality Care (DBA Araya) for pharmacy benefits and a memorandum of understanding with ElectRx (international prescription sourcing). City staff and the city’s broker reported a combined renewal increase of about 7.95% for health insurance premiums compared with the prior year and annual premiums of roughly $4,221,408 as presented.

At the meeting, a city representative described the Anthe m Medicare Advantage renewal and noted the retirees' plan had seen a steep increase in prior years; staff said negotiation with the broker, Gallagher Benefit Services, helped lower an initial higher renewal bid to the approved figure. The resolution materials state the Medicare Advantage renewal covers the period 06/01/2025–05/31/2026 and itemizes anticipated member counts and plan costs.

Staff also told the council that Gallagher representatives will visit employee work locations to explain a second fully in‑network plan the city will offer; officials said the goal is to let employees choose annually and to reduce use of out‑of‑network services that raise overall costs. Councilors asked about self‑insurance and whether the city had re‑evaluated that option; staff said they had spoken to multiple brokers and had not prepared a full analysis because of perceived financial risk.

Councilors passed the bundled renewal resolutions by roll call. City staff said they will hold employee meetings to explain the new plan option and related materials and will continue working with brokers to manage costs.