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Nicollet County approves 2025 medical insurance renewal as costs rise 27.6%
Summary
The county authorized renewal of its Medica coverage through the Minnesota Health Care Consortium effective Jan. 1, 2025; staff said the overall cost will rise by about $1.2 million (27.6%), and employees with family coverage will pay an additional $50 per month.
Nicollet County’s Board of Commissioners on Oct. 8 authorized the 2025 medical insurance rate confirmation and directed the human resources director to sign the renewal documents.
Human Resources staff reported that Gallagher Benefits Services solicited proposals and three offers were reviewed; the recommendation was to continue the county’s coverage with Medica through the Minnesota Health Care Consortium. Staff said the overall cost of medical insurance would rise by about $1,200,000, an increase of 27.6% for 2025. "The employees with family health care coverage will increase their contribution to the cost by $50 per month," staff said. To offset employee impacts the county will increase VEBA/HSA contributions modestly and contribute at a rate estimated at 60% of the deductible.
Commissioners praised HR and the insurance committee for negotiating and preparing for the increase; the chair and committee members confirmed the renewal is for two years and that the second‑year increase is locked into the agreement. After discussion the motion to approve the rate confirmation and authorize the human resources director to sign passed unanimously.
Staff announced open‑enrollment sessions with Gallagher on Oct. 29 to explain plan details to employees.
