The Employee Insurance Committee has done a comparison of benefits using surrounding districts as a benchmark. The comparison results will go to the Superintendency for input into the budget process for future budget decisions. The results show that Kyrene is within the norms for premium rates for employees and dependents. Plan makeup is also well within the norms as to what type of benefits are covered items and what is offered as options. Market trend is showing rates will be increasing at double-digit percentages.
Prescription costs are one of the driving forces.
It was determined that Kyrene is in a better position of controlling costs, being a self-funded plan, as opposed to being fully insured and having no control over what premium rates would be. In 1986 there were 26 health care companies, today there are only 6 companies to choose from. As this field narrows, it also could drive the premiums to increase. Sharla updated the committee as to the cost of the current Wellness program. We calculated that 800 employees would choose to participate.