Township Debates Health Insurance Costs
In an unusual move,
"It's one of our biggest expenses as a municipality and I thought there was a lot of confusion over the different plans last year," explained mayor
The commission ultimately decided not to choose a vendor on
Self-insured means the town provides funds to pay claims as they are submitted by its workforce, some 60 to 70 covered employees. The mayor had been quick to note at the meeting's outset that none of the three commissioners "takes the health insurance." In CSB's presentation, Brown, an underwriter, duly ran through what appeared to be only three companies in consideration - IDA, the
The HIF is a joint fund, with 52 New Jersey municipalities and municipal utility authorities enrolled, and was created by
According to annual financial reports going back to 2019, while
Of that shortfall, Teague said, "That scared me, because it's a lot for a municipality to come up with, to cover that line cost, and it was the end of the year, so everything was spent, and we had to shift funds and borrow from different accounts - roads, etc." Based on the quotes, Brown said CSB was recommending
Tarditi said, "The advantage of the HIF collectively is that let's say, one town has a little bit worse claims (in one year) than another, we sort of level them out, so that there's a sharing of the benefits and a sharing of the losses. The HIF was created for groups your size, and many of your neighboring towns are members.
Over the years, it's been immensely successful." According to the
Commissioner
Onboarding employees into a new health insurance plan can be a lengthy and difficult process, Brown said, which is why insurers require 60 days' notice of the termination of a plan and enrolling into a new plan.
Teague told Linhart he had no objections to meeting separately with IDA, before the special meeting on
The drug benefits program would change from Optum to ExpressScripts, and Brown said the CSB team would be evaluating
After the meeting, Linhart, perhaps frustrated in his attempts to get answers, said, "I don't see the financial benefit of joining SJF." Mention was made of
In an email, Linhart wrote: "Every year,
"Under our current selffunded model, if the township budgets
"As
And there's no trial period, we would have to buy our way out of the contract to leave."


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