The board voted to adopt a higher‑deductible stop‑loss insurance option (referred to in materials as Option 2 with Izzy/ISSI). Presenters explained the district’s specific stop‑loss deductible is $275,000: once a single claim exceeds that amount, the stop‑loss carrier reimburses the district for the excess. Historical data presented showed an average of about 2.6 stop‑loss claims per year over seven years and inconsistent outlier years (for example, a very large 2021 amount cited by staff).

Jeanne Dwyer and Leanne Garris reviewed carrier quotes and why LP Insurance (consultant/broker) recommended staying with the incumbent/renewal with WellPoint (which bought Granular) at the $275,000 level for continuity. The board discussed alternate options that slightly lower premiums (Option 1) and a higher deductible option (Option 2) that reduces the premium by about $94,000 this year but would increase district exposure on each claim that exceeds the deductible.

Trustees weighed short‑term budget pressure against long‑term risk: board members highlighted a projected negative health‑plan fund balance (presenters cited a projected ending fund balance of approximately negative $213,000) and the district’s broader deficit concerns. Some trustees favored the premium savings this year; others warned a single large claim could be catastrophic.

After public comment and extended trustee discussion, Trustee Knighting moved to approve Option 2 with Izzy; the motion was seconded and passed unanimously.

What happens next: Benefits staff will finalize the contract with the carrier selected, adjust plan accounting for the updated premium/deductible, and monitor claims and fund balance. The board directed staff to track fund‑balance impacts and report back.