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HUB consultant warns Laredo ISD health plan costs rising; district sees multimillion‑dollar shortfall before transfers

Laredo ISD Board — Business and Support Services Committee · December 12, 2025
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Summary

HUB International reported rising health-plan costs—PEPM at $912.59 (up 15.3% YOY) driven by high‑cost claimants and expensive diabetes drugs—projecting a $3.6M shortfall for 2025 and $4.9M for 2026 before general‑fund infusions to the health fund.

Patrick Avila, employee‑benefits health consultant with HUB International, told the Laredo ISD Business & Support Services Committee that the district’s rolling 12‑month per‑employee‑per‑month cost stands at $912.59, an increase of 15.3% from the prior year. "One of the main drivers of that increase is your high‑cost claimants," Avila said, noting the plan tracks claimants who meet or exceed a $125,000 threshold and an individual stop‑loss threshold at $250,000.

Avila said the district had 25 claimants who had exceeded the $125,000 threshold through October and nine who reached the…

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