Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Employee Benefits Insurance topic
No spam. Unsubscribe anytime.
Board awards district medical self-insurance administration to HealthEZ after competitive bid
Summary
After a competitive procurement, the board voted to switch medical administration to HealthEZ for a one-year commitment, with brokers and staff saying the move is projected to lower the district’s maximum exposure and administrative costs relative to the current arrangement.
The Forest Lake Area Schools board voted April 3 to award administration of the district’s self-insured medical plan to HealthEZ following a competitive bid process managed by broker National Insurance Services and district staff.
Elora Blazer of National Insurance Services summarized the results of a solicitation that drew six responses. Blazer said the district compared maximum claims liability, stop-loss premiums and fixed administrative costs and concluded HealthEZ’s proposal showed the most competitive maximum-cost position. The broker presented a comparison showing the district’s current maximum-position estimate above $13 million and HealthEZ’s bid at approximately $10.67 million.
Chrissy Renberg Eide and benefits staff told the board HealthEZ is a long-established third-party administrator operating regionally and nationally; the recommendation included a one-year commitment with the option to renew. Administration said network disruption is expected to be minimal and that HealthEZ staff have begun outreach to providers that were not in the network. The board heard that transition assistance and implementation services will be provided by the broker and carrier and that some one-time implementation funds from the bid will offset transition costs.
Board members asked about provider network continuity and the contract term. Blazer said the district conducted network overlap checks and that only a small number of providers were not in HealthEZ’s listed clinics; HealthEZ already was contacting those providers. The board approved the award by roll call; the vote was recorded as all present members voting aye.
