La Porte County commissioners give notice to terminate UMR as third‑party administrator

La Porte County commissioners voted July 30 to give notice of intent to terminate UMR as the county’s third‑party administrator for its self‑insured health plan, a step taken to preserve the county’s options before a contract‑termination deadline.

The vote followed a presentation by a benefits consultant and Eric Gibson, who outlined competing offers from Anthem, Berkeley and a UMR renewal. The consultant summarized the solicitation results — nine stop‑loss carriers contacted, four quotes received, two declines and three pending — and said the county’s packet compared a Berkeley renewal, an updated Berkeley revised renewal and an alternate Anthem proposal. “So overall on an expected basis … With Berkeley, we are looking at about 13.1 versus about 12.9. So it's a savings of about $235,000,” the consultant said when describing expected‑basis costs across third‑party administration, stop‑loss and pharmacy benefits.

The consultant highlighted that Berkeley’s revised renewal showed about a 10% increase in stop‑loss premium and that Anthem’s offer was slightly lower. He said administration costs in the comparison produced roughly a 6.9% increase if the county stayed with the current arrangement versus about a 6.1% increase if the county moved to Anthem. The consultant also described a pharmacy rebate structure in which Anthem would advance about $300,000 in pharmacy rebate credits on the administrative side and recoup those credits from rebates received through the year; the consultant noted the county received roughly $660,000 in pharmacy rebates the prior year.

Commissioners asked practical questions about transition logistics. Eric Gibson and the consultant said there would be some overlap and run‑out claims administered by UMR during any transition; the packet included an overlap estimator shown as “$205” under a labeled line item, but the packet did not specify units for that figure. The consultant warned that the quoted offers were time‑sensitive: as new claims data arrive, carriers—including Anthem and Berkeley—may revise rates. He said the quoted premium would be valid through Wednesday the sixth and that carriers commonly provide a limited window (the consultant said about 15 days) when releasing a formal quote.

After discussion, a commissioner moved “to give notice of intent to terminate UMR”; a second was recorded. The presiding officer called for the vote and two “Ayes” were audible on the recording; the motion to give notice was carried. The board directed staff to place the matter on an upcoming regular meeting agenda so commissioners could decide on a final selection of a third‑party administrator. The meeting adjourned afterward.

The action taken on July 30 is procedural — giving notice of intent — and does not itself select a replacement vendor. Commissioners and staff signaled further consideration of the offers and scheduling of the selection decision at the next meeting.