Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Employee Benefits topic
No spam. Unsubscribe anytime.
Council approves 2027 health-insurance renewal; city to absorb modest premium rise
Summary
City staff told the council Wellmark premiums through the IGHCP rose about 2.91% for 2027; staff recommended continuing current COBRA and benefit arrangements, with dental up ~3.5% and vision unchanged. Council approved the renewal and related resolutions.
City staff on April 24 recommended that the Carroll City Council approve the city's 2027 health-insurance renewal through the Iowa Governmental Health Care Plan (IGHCP).
Laura (city staff) said the Wellmark premium for the city's insured group increased about 2.91% overall and that being part of a large pool (54 entities, roughly 13,000 members) helps stabilize premiums. "The premium that the city pays to Wellmark for health insurance went up 2.91% for everybody in the group," she said.
Staff explained the city's approach includes partial self-funding: the city purchases a higher-deductible plan and self-funds down to a lower deductible for employees, supported by reserve funds. Laura said reserves are in place to absorb this year's modest increase. Dental premiums will rise by roughly 3.5%; vision premiums remain unchanged. Staff recommended keeping the COBRA rate the same so employees opting for COBRA continue to pay the same share.
A council member asked whether the change would affect employees; staff said employees' share would not change immediately, but sustained premium growth could factor into future contract negotiations. Council approved the resolution to accept the renewal and continue current plan arrangements.
Next steps: staff will continue monitoring utilization of the partially self-funded layer and report to council before future rate-setting and contract negotiations.
