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Woodland Hills approves switch to PEHP high‑deductible plan with $3,000 employer contribution
Summary
After a detailed review, the council approved moving city employee coverage from SelectHealth to a PEHP high‑deductible plan (Option 5, Summit network) and agreed to a $3,000 annual employer contribution that employees may receive via an HSA or HRA.
The Woodland Hills City Council voted to change its employee health insurance carrier and plan design, approving a PEHP high‑deductible option paired with an employer contribution intended to be deposited to employees' health accounts.
Finance committee members and city officials spent more than an hour reviewing competing proposals before recommending PEHP. Aaron, a finance committee member, summarized market offers and the committee's analysis: “we recommend moving to a high deductible health plan paired with a health savings account,” he said, noting the plan would reduce the city’s exposure to renewal increases while providing employees with funds in an HSA to cover deductibles and invest for the future.
Why it matters: the council learned the city currently pays 100% of premiums for three employees and faced a SelectHealth renewal increase of about 12.7 percent. The committee presented PEHP plans that would cut the city's cost relative to the anticipated renewal and…
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