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Tuttle council approves move to Blue Cross mid‑market insurance package to limit premium growth
Summary
After a presentation by insurance broker Jim Valletta of Gallagher, the Tuttle City Council voted to adopt a mid‑market Blue Cross insurance package (option 2A‑1) and retain the existing HRA structure; staff said the change will better benefits for employees and modest savings for the city.
Tuttle’s city council voted to move the municipality’s employee health benefits to Blue Cross mid‑market plans after a detailed presentation from Jim Valletta, the city’s broker with Gallagher.
Valletta told council that the city’s Blue Cross small‑group renewal arrived with an 11% market increase but that moving to a mid‑market pooling approach produced better plan designs and net savings: bundling medical with ancillary lines (dental, vision, employer‑paid life) would lower overall costs and improve pharmacy benefits. He said the package would reduce out‑of‑pocket exposure for workers and save the city approximately $74,000 in renewal costs and additional projected HRA savings (he described roughly $20,000–$30,000 in combined medical/HRA savings under the proposed package).
Valletta recommended keeping employee payroll deductions unchanged (the broker advised continuing the current $24 per month employee contribution on the base plan) and retaining a $1,000 HRA first dollar reimbursement for employees. Council Member (motion maker) moved to approve the mid‑market Blue Cross option 2A‑1 with HRA option 1; the motion carried on a roll‑call vote with council members voting yes as recorded.
The change is expected to take effect on the next plan year renewal cycle and staff said it would be implemented while preserving current payroll‑deduction levels for employees.
