Treasurer Al reviewed the county’s self‑insured health plan and workers’ compensation fund on Oct. 11, telling supervisors the move to self‑insurance was financially beneficial over time but has produced volatility in claim payouts.

He described self‑insurance as trading a predictable, higher monthly premium for variable claims exposure; while the county retains any surplus and the benefit of drug‑rebate revenues, a string of high‑cost claims has caused recent volatility. The treasurer said the board’s prior decision to infuse roughly $1 million into the health insurance fund improved the fund’s position and was “amazingly smart.”

Why it matters: Health‑insurance expenses are a significant and largely uncontrollable cost for local government. The treasurer said self‑insurance can be cheaper long‑term and permits the county to apply funds to targeted wellness programs (for example, incentives for annual checkups) that could lower catastrophic claims over time.

Workers’ compensation: The treasurer said the self‑insured workers’ compensation fund grew by roughly $300,000 in 2024 because claims paid were lower than premiums collected. He cautioned that this result can reverse in a single year and that the county’s funding formula — codified in local law — determines the next year’s allocation unless the board changes the local law by public hearing.

No formal actions were taken. The treasurer recommended exploring wellness incentives, improved data on high‑cost claim drivers and possibly conserving surplus in years with favorable experience to buffer future volatility.