Selectmen: Switch in health plans to save taxpayers [Journal Inquirer, Manchester, Conn.]

Nov. 15—ELLINGTON — The town has switched to a new health insurance plan for its employees that officials say is projected to save taxpayers over $170,000 in the first year.

Last week the Board of Selectmen during a special meeting unanimously approved switching from a high-deductible plan to the Connecticut Partnership Health and Dental plan, effective Jan. 1, 2023, for its government employees and retirees under age 65. The contract with the state will be for three years.

Emergency and Risk Management Director Walter Lee told selectmen that as a former state employee, he is on the plan. He said his expenses for his family are minimal, and the plan is a good program for promoting healthy living.

Liz Nord, of the Insurance Advisory Board, said board members think moving to the state plan is the best way for the town to go at this point.

Not only will the plan save the town in premium costs but it will also offer savings of several hundred dollars for employees who participate in the preventative care requirements, Board of Finance Chairman Michael Purcaro said.

Purcaro said he and Assistant Finance Officer Felicia LaPlante had four goals when looking for a new health insurance plan: to calibrate health insurance renewal to the town's fiscal year, which allows for better and more accurate budgeting; to reduce medical loss ratio, or the severity and frequency of employee health insurance claims; enhance medical coverage for town employees; and save taxpayer money by premium costs.

Last week Purcaro said health insurance for town employees has been a major budget driver for years, coming to about 8% of the total government budget. The town's health insurance plan started at the beginning of the calendar year but the town's fiscal year begins July 1, he said.

"When we had to vote on the budget, we always voted with a best guess projection but without real numbers," Purcaro said. "That put an excessive tax burden on residents."

The employees' claims experience, or medical loss ratio, was poor and drove up premium costs, he said.

The questions, therefore, became how to reduce costs and become healthier and save the taxpayers and town employees money, Purcaro said.

For more coverage of Somers and Enfield, follow Susan Danseyar on Twitter: @susandanseyar, Facebook: Susan Danseyar, reporter.

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