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Jonesboro hears presentation on city’s self-funded employee health plan; consultants cite drug-rebate and prescribing savings
Summary
City consultants told the Jonesboro City Council the shift from fully insured coverage to a self-funded model produced immediate benefits: about $671,000 in captured drug rebates and an estimated $1.6 million saved by resourcing 36 high-cost prescriptions, while also allowing more detailed claims management and wellness programming.
Jonesboro city officials on Feb. 17 heard a multi-part presentation on the city’s employee health plan and benefits strategy, including how a move to a self-funded plan affected costs and services.
Mayor (unnamed) opened the special-presentations segment and invited staff to explain the changes the council approved. Greg Hatcher of the Hatcher group described structural drivers of rising health-care costs and why the city shifted from a fully insured contract to a self-funded arrangement. Hatcher said self-funding gives the city direct access to claims data, reduces premium-tax exposure…
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