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Council approves conditional switch of health insurer pending termination‑cost estimate

Union City Borough Council · October 7, 2024
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Summary

Council authorized switching the borough's employee health insurance to Municipal Benefit Services (MBS) for 2025 if termination costs to leave the current insurer would not exceed $42,000; estimated annual savings were reported as $13,730.

Borough Manager Cindy Wells and Councilor Brian Osborn met with Municipal Benefit Services about moving the borough’s employee health insurance from Benecon to MBS. Wells said the borough would receive new rate information on Oct. 15 and estimated that switching could save the borough $13,730 per year.

Council passed a conditional motion: "MOTION TO CHANGE HEALTH INSURANCE PROVIDERS FOR 2025 IF THE ESTIMATED TERMINATION COSTS WOULDN’T EXCEED 42,000.00." The motion was moved by Councilor Osborn and seconded by Councilor Steadman; the minutes record that Riley Cross and James Kerns abstained. The minutes do not record the final termination cost or a vendor notice of termination.