New plan includes increases in  copay/deductible
Polk County employees on the county’s health insurance plan could see more money coming out of their pockets next year.
The Polk County Board of Commissioners spoke on Monday, April 18 with Tracy McCarty of Mark III, the county’s insurance broker, about options for next year. The county’s new fiscal year begins July 1.
Polk County, which is self-insured, increased its allotment for employee insurance this year 20 percent, or approximately $160,000.
Polk County Manager Ryan Whitson said when he presented the 20-percent increase to the previous board of commissioners he promised he wouldn’t come back with a recommendation for another increase this year. Whitson also said the county will still be paying for the employee premiums with the proposed new plan.
“I don’t need an increase on health insurance for next year,” Whitson said.
The proposal is to change the plan, which will mean deductibles, copays and out of pocket maximums will increase for employees.
County employees currently pay $25 for regular physician visits and $35 for specialists. The proposal is for physician copays to rise to $30 and specialists to rise to $60. Deductibles are proposed to go from the current $500 to $1,500 with out-of-pocket limits proposed to increase from $2,500 to $3,000.
Under Polk County’s self-insurance plan, the county pays for up to $35,000 in claims per employee, and a “stop-loss” insurance carrier pays any costs  remaining after that amount.
According to Mark III’s projections, Polk County’s expected total costs for insurance claims this fiscal year are estimated at $1,000,546. The expected total costs for next fiscal year are estimated at $1,191,803. McCarty said so far this fiscal year the county’s claims are running 16 percent below the county’s claims last year. But if Polk stays with its current plan, the county will be guaranteed a 19-percent increase, McCarty told commissioners.
Commissioner Renée McDermott asked if the county has considered bidding insurance out and not continuing with self-insurance.
Whitson answered that he prefers the self-insurance plan the county currently uses. He said once the county bids out the service, the county will receive a really good price the first year, but those rates will increase the next year and subsequent years.
McCarty said Polk County’s current deductibles are extremely low. She said the average deductible is in the $1,500 to $2,000 range.
Commissioner Tom Pack asked McCarty if traditionally some months have more claims than others. McCarty said normally claims rise towards the end of the fiscal year because people will get medical procedures done then because their deductibles are either paid or nearly paid..
So far this fiscal year, the number of county employees who receive health insurance ranged between 135 and 157 depending on the month. Employees are not required to have the county’s plan. Polk County pays for all of its employee’s health insurance premiums, with employees paying for any dependents. The county’s dental and vision insurance is contracted out, with employees paying for those premiums.
If the current proposal is approved, it will be the first time health insurance rates for employees have increased since 2003.
Commissioners are scheduled to further discuss the proposal with Mark III during the county’s next meeting on Monday, May 2, which will be held at 7 p.m. at the Stearns Building in Columbus.