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Monday, May 2, 2016

School board approves new health plan

Wednesday, September 19, 2007

Beginning Jan. 1, 2008, the Clay Community School administration and non-certified staff will be under a new health care plan.

The board voted on the new plan Tuesday night during a meeting at North Clay Middle School.

"We believe that it is less expensive for the corporation and the employee than keeping the status quo insurance," School Board President Terry Barr said.

Currently, the new plan is a combination of a Health Savings Account and a qualified High Deductible Health Plan (HDHP).

The corporation gives the employee pre-taxed money in the savings account to use on qualified health expenses. If all of the money is not used, it will roll over to the next year.

Employees have the option of adding their own funds to the account.

The reduction in cost to employees comes in the form of the HDHP.

Currently, a monthly premium for an employee's family is $655.93 per month. Under the new plan, a family's monthly premium will be $577.76.

This is because the deductible for a family is capped at $4000.00 annually.

A single employee would see their premium drop from $119.18 to $109.74, with a $2000 deductible.

The board considered bids from Anthem and the Indiana State Teachers Association in addition to the HDHP.

All plans would create an increase in costs for the corporation, with the HDHP creating the smallest increase, but no exact amount was given.

Current costs are $4,584,501, and ISTA offered a plan of $5,876,670, a 28.2 percent increase.

Anthem's bid was $5,125,790, an 11.8 percent increase from current expenses.

"We need to do something to control costs today and something to hopefully control costs in the future, and this was one way to get at that point," CCS Director of Business Affairs Mike Fowler said.

CCS school board also voted to change to Anthem for health and vision insurance, as well as to change to ISTA/Delta Dental for dental insurance.

Because of concerns over cash flow, the 2008 the funding for the Health Savings Account will be paid upfront. Beginning in 2009, the funds will be deposited quarterly.

The board still needs to decide on which local bank to start the Health Saving Accounts.

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