Copperas Cove staff brief council on shift to self-funded health plan

Copperas Cove city staff and a brokerage consultant explained the mechanics and risks of switching the city’s employee health coverage from a fully insured plan to a self‑funded model during a June 3 workshop, saying the change could provide more data and long‑term cost control but would require new administrative and reserve strategies.

The presentation matters because the change would shift how the city pays for employee medical and pharmacy claims, potentially altering annual budgets, cash flow practices and the city’s exposure to high‑cost claims.

Jeff Davis, the city’s director of human resources, told the council the city’s renewals have averaged about 1.25% over the past nine years and that the city has “been very proactive in trying to manage health care costs.” He…