City employees will receive at least one more year of Scott & White health benefits as the Harker Heights City Council on Tuesday unanimously renewed a medical, vision, dental, life and long-term disability trust for inclusion in the 2013-2014 budget.
Robert Treacy of Gallagher Benefit Services Inc. said the city will pay about $910,000 next fiscal year for its medical plan, $60,000 more than the current fiscal year but $75,000 less than 2011-2012.
The city will pay 7.7 percent more for health insurance than the current fiscal year, while Aetna’s, TML’s and Humana’s proposals would have been 23 percent to 43 percent more than current rates, city documents stated.
Treacy said he was initially concerned that Scott & White would raise rates to compete more with the other providers, as it reduced its cost 15 percent between FY 2011-2012 and FY 2012-2013.
Treacy said Scott & White showed him the numbers, which revealed a 7.7 percent rate increase, about 15 percent lower than the next least expensive plan.
“The market didn’t get down there and it was a very aggressive play,” he said. “They felt like they were trying to be very competitive. … We got a darn good renewal.”
Employees will pay a $250 co-pay for emergency room visits and $40 for doctor’s office visits, the same as this year’s rate.