Navarro representative: Rockdale medical premiums hold steady for 2026; council approves benefits package

A Navarro representative recommended the City of Rockdale renew its employee benefits with no increase to medical premiums for 2026, and the council voted unanimously to accept the package.

The presenter told the council that negotiations produced a 0% increase in medical premiums for the upcoming plan year and recommended continuing the existing PPO with Baylor Scott & White and the city’s gap policy. "We negotiated the medical plan to a 0, 0% increase," the Navarro representative said during the presentation. The representative described the gap policy as reducing the current $5,000 deductible down to $750 for employees and said that continuing the gap policy would limit employee out-of-pocket exposure.

Councillors asked about alternatives and cost trade-offs. The presenter said alternatives such as moving to an HMO or replacing the gap policy with a medical expense reimbursement program (MERP) were more expensive. He said a MERP-style plan would have increased plan costs by roughly 19.93% and represented about a $100,000 difference in premium compared with the recommended approach. He also said an initial dental increase quoted at 9% had been negotiated down to about 7%.

After discussion, a councilmember moved to accept the benefits package "as presented," a motion that was seconded and carried unanimously. The staff presentation said any insurer gainshare (a medical-loss-ratio refund) would be reconciled at contract year-end and paid back to the city if applicable.