- November 27, 2024
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Based on a projected increase to the county’s medical insurance budget, staff proposed changes to its plan to offset costs, including a wellness initiative and an added focus on using county clinic.
The county’s projected employee healthcare costs are on the rise. To offset the estimates increases, and possibly to save money down the road, staff proposed changes to one of its health plans, in an effort to incentivize employees’ use of the county clinic.
When employees see a family physician or go to the six-month-old county clinic, “it’s less money for the employee, less money for the county,” County Administrator Craig Coffey explained. When they visit urgent care facilities, it’s more expensive for both.
Included in staff’s new plan design is a focus toward more consistent county clinic use.
Staff proposed increased hours at the clinic, as well pricing shifts in its Blue Cross/Blue Shield BlueChoice plan.
To encourage use of family physicians over specialists, co-pay for the plan will be increased from $25 to $35. Urgent care co-pays will be increased from $15 to $40. Prescription drug co-pays will be increased from $5/$20/$25 to $10/$25/$40.
A wellness initiative was also proposed to offset long-term medical costs. Participation in the program will be encouraged by the establishment of a Health Reimbursement Account.
Similar to a flexible spending account, funds will be added to employees’ HRAs through participation in annual health-risk assessments, which will also provide data collection to be used in future program design.
Taking a health-risk assessment will add $100 per member into employees’ HRAs. Funds can be used for qualified medical, dental and vision expenses; they would not roll over; and they would not be available after employees leave employment.
Also, employees that complete approved wellness programs — weight management, exercise, tobacco cessation, etc. — will receive $50 in their HRAs.
Coffey estimates 75% to 80% participation in wellness programs. If every employee participated, the HRA would cost $120,000. Wellness incentives would cost $31,250.
“Let’s make some adjustments that actually drive healthier choices,” Coffey said. “It’s an investment. It’s something that can help (offset costs) to your employees.”
Flagler County Board of County Commission Chairman Alan Peterson was skeptical that the incentives would work, pointing to the additional costs the county would incur.
“You’re going to have the same amount of illness with less employee contribution,” he said.
“This is one way that you can say you care about (your employees),” Coffey said. “Long term, you hope that translates into savings.”
Commission member Nate McLaughlin agreed.
“Healthy people translates into healthy (trends) for our budget,” he said.
