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Council approves conditional switch of borough health insurance if termination costs acceptable

Union City Borough Council · October 7, 2024
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Summary

Council authorized changing the borough’s 2025 health insurance provider from Benecon to Municipal Benefit Services only if termination/run-out costs do not exceed $42,000; potential annual savings were estimated at $13,730.

Council on Oct. 7 authorized a conditional change to the borough’s 2025 health insurance provider: staff will switch from Benecon to Municipal Benefit Services (MBS) provided the estimated termination and run-out costs do not exceed $42,000. Manager Cindy Wells and Councilor Brian Osborn had met with MBS and reported an estimated annual savings of $13,730 if the change is made.

The motion to change providers was made by Councilor Osborn and seconded by Councilor Steadman. The minutes record that Councilors Riley Cross and James Kerns abstained from the vote; the council recorded the motion as carried in the minutes. Staff will receive rate information by Oct. 15, 2024 and a formal decision will follow once termination costs are quantified.