KeepHealthCare.ORG – Massillon employees’ healthcare coverage could change – News – The Repository
Legislation was shared Tuesday with Massillon City Council that aims to hire Medical Mutual of Ohio as the city’s new health insurer.
Steven M. Grazier IndeOnline.com staff writer @sgrazierINDE
MASSILLON The city could contract with a new health insurance company for the first time in approximately three decades.
Legislation was introduced Tuesday night at City Council’s work session that would hire Medical Mutual of Ohio — replacing The Health Plan — as the health insurance carrier for the city’s 234 full-time employees. If approved, the change to Medical Mutual would begin Aug. 1 and expire in January 2020.
The city currently pays 85 percent of its employees annual health insurance costs, which is expected total about $3.8 million this year. City workers are expected to pay 15 percent, or about $550,000. Employees are paying about 21.26 percent more this year than in 2017, which is a main reason why a new company was sought out.
Councilman Ed Lewis, R-at large, who chairs council’s finance committee, said the proposed contract with Medical Mutual comes with monetary savings for employees. However, the exact reduction amount was not immediately available Tuesday night.
“We’re going to get more into that in two weeks, with more discussion,” said Lewis following the work session.
The new ordinance lowering rates is scheduled for first reading on Monday.
The city’s Employee Heath Committee passed a resolution earlier this month to contract with Medical Mutual.
The spike in workers’ health insurance cost this year was due to an increase of employee claims from October 2016 through September 2017, in addition to the rising cost of health care nationally. Council voted in December to approve the rate hike, which began in January.
Reach Steven at 330-775-1134 or at [email protected]
On Twitter: @sgrazierINDE