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Clinton board approves revised employee health-plan options after 17.71% renewal increase
Summary
After a Gallagher Insurance presentation showing a 17.71% renewal increase, the Board approved a motion to accept a combination of BCBSLA options (including a BCBSLA + Employee Benefit Services buy-down) and to resolve dental and vision enrollment discrepancies; seven employees are on the current plan.
Will Chapman of Gallagher Insurance told the Town of Clinton Mayor and Board of Aldermen on April 8 that the town's current Blue Cross Blue Shield of Louisiana (BCBSLA) group plan faces a 17.71% premium renewal increase. Chapman outlined three options: keep the current BCBSLA Group Care Copay 80/60 plan (a $3,000 deductible, office/specialist/urgent-care copays and an out-of-pocket maximum that Chapman said had fallen to $7,700), select a lower-cost primary-only BCBSLA plan, or pair BCBSLA with Employee Benefit Services (EBS) to lower employee deductible exposure and reduce the town's premium increase.
The broker said seven employees currently participate in the BCBSLA plan. Under the BCBSLA+EBS combination Chapman described, the deductible would drop from $3,000 to $1,500, and after the initial deductible an in-patient/out-patient or emergency room claim would be subject to 30% coinsurance up to a $4,000 out-of-pocket cap; once that cap is met, Chapman said the plan would pay 100% of covered services. He also presented a buy-down option that raises deductibles and reduces benefits for employees who elect the cheaper choice.
At the meeting Alderman Betrece moved that the town accept BCBSLA Option 2 or BCBSLA Option 3 with Employee Benefit Services, and BCBSLA Option 1 as listed on the employee health plan options, and to resolve the discrepancy about employee enrollment in dental and vision plans; Alderman Morris seconded the motion and it passed. The motion delegates selection among the vendor options described and requires staff to reconcile employee enrollments for dental (Humana) and vision coverage.
Why this matters: town employer-sponsored benefit choices affect both workers' out-of-pocket costs and municipal budget pressures. The board approved options that, according to the broker, reduce premium pressure by pairing BCBSLA with a secondary carrier but change deductibles and copays in ways some employees may find more costly at point of service.
Next steps: town staff will implement the chosen plan structure ahead of the May 1 renewal date and will notify employees of enrollment choices and any changes to deductibles, copays and pharmacy coverage. The motion included instructions to settle the dental and vision enrollment discrepancy so employees can confirm coverage.
