| Ms. Fierstein summarized the employee health plan renewal
proposals from Healthnet, which had been detailed in a
memorandum distributed to the Executive Committee. She
noted that a renewal on the same terms and conditions as
the expiring plan would result in a 15.28% increase in
premiums. In contrast, a renewal incorporating higher participant
deductibles and co-payments would result in a lower 11.18% increase. As outlined in the memorandum, a competitive
quote was obtained from Emblem at a 2.49% increase; however,
concern was expressed that switching carriers could result
in a more-complicated open enrollment process and the need
for employees to change doctors.
Ms.
Fierstein then noted that the expiring plan with Healthnet
provided only two tiers of family
coverage (i.e., single
vs. family), while Healtnet’s renewal proposal introduced
four coverage tiers in increasing cost to employees as
follows:
EE
single employee
EC employee + children
ES employee + spouse/partner
EF employee + spouse/partner + children
It
was noted that this four-tiered approach allowed a more
equitable way for employees to structure
their respective
families’ coverage.
Ms.
Fierstein stated that if the Society were to continue
its practice of subsidizing health
insurance premiums in
the flat monthly amount of $385 per participating employee,
neither of the Healthnet renewal proposals would involve
any additional cost to the Society. Participating employees
would therefore assume the full premium increase in the
form of higher bi-weekly paycheck contributions. It was
noted that this increase would be mitigated by concurrent
employee salary increases as of June 1, 2009, and that
the practice of reimbursing employees the $500 co-payment
associated with hospital stays would also help to mitigate
the increase. In response to a question, Mr. Sinegal
stated that approximately three to four employees had
been reimbursed
for the hospital co-payment in the prior plan year.
President-elect
Moynihan then moved:
1) to approve the Healthnet renewal reflecting four coverage
tiers and higher participant deductibles/co-payments for
a relatively lower overall increase of 11.18%;
2) to continue subsidizing each participating employee’s
health insurance premium in the flat amount of $385 per
month; and
3) to continue the practice of reimbursing employees the
$500 co-payment associated with hospital stays.
Ms.
Jaeckle seconded the motion. During discussion of the
motion, it was noted that the renewal was fully covered
under the 2009-2010 fiscal year budget. Ms. Fierstein then
conducted a vote on the motion. The motion passed unanimously.
Ms.
Fierstein then moved onto the employees’ Aetna
dental plan, noting that there was no premium increase
associated with its renewal. She stated that, as outlined
in the detailed memorandum, a competitive quote was obtained
from Cigna which represented a potential savings to the
Society; however, concern was similarly raised that switching
carriers could result in a more-complicated open enrollment
process and the need for employees to change their dentist.
Ms. Fierstein therefore suggested approving the Aetna
renewal at a 0% premium increase, similarly noting
that it was
within the budget for the 2009-2010 fiscal year.
Ms.
Dwyer moved to approve the renewal of the employee dental
plan with Aetna at a 0% premium increase, and
Mr. Falbo seconded the motion. Upon a vote, the motion
passed
unanimously.
|
