Board hears health-insurance briefing on district's move to self-funded plan and EHCW partnerships

The Burlington Area School District board on July 13 heard an update from an insurance consultant on the district's recent switch to a self-funded health plan and its integration with an employer cooperative known as EHCW.

Megan of Marsh McLennan Agency told the board the district conducted due diligence after a fully insured renewal quoted at about 19% and concluded that self-funding became advantageous when fully insured renewals exceeded roughly 11%. The district transitioned to the self-funded model on Jan. 1, 2026.

Megan described plan design choices intended to lower member deductibles, steer members to high-value providers and use direct contracting and bundled payments to reduce net costs. She said roughly 22% of billed charges have flowed through EHCW contracts so far and that around 48% of members had used EHCW contracts and bundles through the end of May. "Those services are made available to your members at $0," Megan said, describing examples where MRI and CT costs are substantially lower under direct contracts.

Board members pressed on access and quality. A board member said the nearest $0-cost ER option was approximately 40 minutes away; Megan emphasized that members should use the closest ER for true emergencies but that the $0-cost options provide wraparound urgent/after-hours care for non-life-threatening needs. Superintendent Jill said the plan now offers options that members did not have under the prior fully insured design.

The presentation did not include final-year savings figures; Megan said a full year of data is needed to produce audited savings calculations. District staff said they will report back once annual fiscal results are available.