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Council advances conditional change of health insurer pending termination-cost estimate

Union City Borough Council · October 7, 2024
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Summary

Council authorized a conditional switch of the borough's employee health plan to MBS for 2025 if estimated termination (run‑out) costs do not exceed $42,000; councilors Riley Cross and James Kerns are recorded as abstaining in the meeting minutes.

Council discussed potential changes to the borough’s employee health insurance during the Oct. 7 meeting. Borough Manager Cindy Wells and Councilor Brian Osborn reported they met with Municipal Benefit Services (MBS) and that a rate for the current plan would be provided Oct. 15. Wells said changing from Benecon to MBS could save the borough approximately $13,730 per year but would trigger termination (run‑out) costs.

Council approved a conditional motion to change health insurance providers for 2025 if estimated termination costs would not exceed $42,000. The motion was moved by Councilor Osborn and seconded by Councilor Steadman. The minutes note that Councilor Riley Cross and Councilor James Kerns abstained from the vote; the minutes elsewhere state the motion carried.