A new health insurance plan for city employees was selected by the board of aldermen at a special meeting Thursday night.
After reviewing several options presented by a broker, the board voted to switch to United Health Care ChoicePlus from Anthem Blue Access starting July 1 at a cost savings of 11.6 percent for the coming year.
Aldermen also voted to continue providing $550 per month per employee for health coverage.
Employees will have three options: a base plan, a health savings account (HSA) plan or a more expensive “buy-up” plan. With the city providing the $550 per month stipend, only the buy-up plan will require employees to pay part of their premiums out-of-pocket, City Administrator Ray Walden said.
The base plan costs $395 per month, the HSA $478 per month and the buy-up plan $607 per month. All three include prescription drug coverage plans.
Employees can add their spouse, children or entire family for a substantially higher premium they pay themselves. On the base plan, family coverage is $1,546 per month.
Anthem was asking for a 4.5 percent increase that would have increased the base plan employee out-of-pocket contribution almost $26 per month.
Board President Kim Steelman requested the special meeting, held in conjunction with a capital improvement committee workshop, to allow more time to review the proposals.
“I don’t want to make a bad decision that’s affecting everyone that’s covered,” she told the board at the regular meeting Monday.