Cape Girardeau teachers to get health savings account option

Cape Girardeau School Board members voted to eliminate the district's most expensive health insurance option and offer a health savings account plan at a special meeting Tuesday. The plans will go into effect in January.

Even with the elimination, the district will pay 12.63 percent more for the core plan it offers employees at no charge. Employees will still have the option to "buy up" to the intermediate plan for $63 a month, which offers a lower deductible and out-of-pocket maximum. But the "high plan," which previously offered an even lower deductible and out-of-pocket maximum, has been eliminated because district officials deemed the loss ratio too high. Last year, 64 people, mostly retirees, subscribed to the high plan.

Benefits will remain the same for the core plan and intermediate plan, although employees will pay more than last year to add a spouse or children to the plan. An employee will now pay $889 a month for the core family plan, up from $789. For the intermediate plan, the employee would pay $1,072 a month instead of $952.

For the first time, the district will offer the option of a health savings account. Under the plan, employees would receive $48 a month from the district to apply toward medical expenses, which are tax-free. The employee would pay for all office visits and prescriptions drugs on their own, up to $2,500. There would be no cost for preventive care. After the $2,500 limit is reached, services would be covered at 100 percent.

The board also voted to switch dental providers from Guardian to Principal. There will be no changes to benefits. With the switch, the district will save 7.6 percent annually, or an expected $11,800.

Cigna will continue to provide life insurance, with no changes to premiums or benefits.

lbavolek@semissourian.com

388-3627

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