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Council conditionally approves switching health insurer if termination costs are under $42,000

Union City Borough Council · October 7, 2024
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Summary

Council authorized a conditional change of the borough's employee health insurance from Benecon to Municipal Benefit Services for 2025 if estimated termination/run-out costs do not exceed $42,000; two councilors are recorded as abstaining on the motion.

Council considered changing its health insurance provider for 2025 and approved a conditional motion on Oct. 7 that would allow a switch from Benecon to Municipal Benefit Services (MBS) if estimated termination or run-out costs do not exceed $42,000.

Borough Manager Cindy Wells and Councilor Brian Osborn said MBS provided estimates indicating a potential annual savings of about $13,730. The minutes record that Council will receive the new rate information on Oct. 15. The motion to change providers was recorded with Councilor Riley Cross and Councilor James Kerns listed as abstaining; the minutes also note the motion as carried. No detailed vote tally or formal termination-cost estimate was provided at the meeting.