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Kane County to switch health plan vendor to PEHP after competitive quotes; dental admin and COBRA fees adjusted
Summary
After committee review the commission voted unanimously to change the county's medical provider to PEHP for 2026, accept related administrative changes to dental/COBRA fees and keep New York Life for life coverage.
County benefits staff recommended switching the county’s health plan vendor for 2026 after receiving competitive quotes from brokers.
Rhonda (benefits administrator) and Tricia Spendlove (chair of the county insurance committee) presented the results of a brokered request for quotes (GBS). They said the county currently pays roughly $2,800 per family per month under its Cigna plan. Keeping the same plan with Cigna at current coverage levels would have produced a quoted 25% increase (about $3,500 per family per month). A fully funded Cigna option quoted a 13% increase (about $3,185 per family per month).
PEHP (Public Employees Health Program) submitted a competitive quote of about $2,600 per family per month for comparable coverage; staff noted a difference in prescription formulary tiers (PEHP uses a 10/25/50 tier where the county’s current plan uses 10/25/45). Staff recommended switching to PEHP for 2026, citing the offered rates and a government‑assisted prescription program that keeps Rx costs lower. Presenters said other vendors (UnitedHealthcare, Blue Cross) quoted substantially higher rates.
The commission voted unanimously to switch to PEHP beginning Jan. 1, 2026, to remain with New York Life for life insurance at the same rates, to increase the dental administrative fee by $0.25 per employee per month (applied to COBRA electees) and to adjust COBRA premiums for outside participants to better track actual costs. Staff announced open enrollment will be Nov. 13, when GBS will provide enrollment help.
Commissioners emphasized the county’s approach to retaining stable employee benefits as a workforce retention tool while seeking to limit taxpayer impact.
