Alburnett council approves employee health plan change after insurers predict higher premiums

The Alburnett City Council on Nov. 14 approved a change to employee health insurance effective Jan. 1, 2025 after staff presented an insurer’s renewal that included a near‑19% increase on the top health plan.

City Administrator Rebecca McDonald and staff reported that the current top plan, HG13, had an overall increase approaching 19%: roughly a 6% base increase plus approximately 12.5% tied to claims experience. To limit the city's share of the cost, staff recommended moving employees to the next plan tier (HG14), which would increase the city's premium by roughly 12% and raise deductibles and out‑of‑pocket maximums slightly while maintaining network and co‑insurance structures.

Council members said employee input mattered and that staff had discussed the tradeoffs with employees; staff indicated employees who elect family coverage would bear a larger portion of the premium increase for dependent coverage. For dental, the council was advised there was no premium change on the current dental tier (DG11) and that orthodontic coverage would remain excluded for adults; the council voted to keep the current dental plan.

Council approved Resolution 2024‑45 selecting the HG14 health plan and DG11 dental plan for city employees effective Jan. 1, 2025 and authorized the city administrator to execute required documents. Staff will notify employees of plan changes and contribution schedules and ensure paperwork is completed prior to New Year’s implementation.

No changes to prescription coverage were reported in the discussion.