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County Workers To See Lower Health Insurance Premiums

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Published: May 27, 2008

NEW PORT RICHEY -- Health insurance premiums will be going down, at least for some 2,000 Pasco County government workers.

Aetna is scheduled to take over this fall as the county government medical insurance provider. It has said it will reduce the cost of health care insurance by 4.5 percent.

The resulting $960,000 estimated savings was just too good for county commissioners to pass up and they made the change at today's meeting.

"I think this is significant to save our employees this much money," Commission Chairman Ted Schrader.

"The decision was a pretty easy one to make," Commissioner Michael Cox said, referring to a county insurance advisory committee's decision to back the change in medical insurance providers.
Cox was a member of the advisory committee.

Aetna will displace the county's long-time provider, Blue Cross Blue Shield, which had sought a 4.5 percent increase. The other three bidders had wanted as much as an 8 percent increase, Pasco Risk Manager Jane Calano told county commissioners today.

It's only the second year the county had sought competitive quotes for health insurance. For nearly a decade Blue Cross had a lock on the contract.

In 2007, facing competition, Blue Cross reduced its asking price by $1.1 million. Aetna won the competitive bidding for the county's health care coverage this year.

Aetna executives intend to make the transition for employees as painless as possible, Calano reported. Only employees who change coverage options might have to fill out forms.

Aetna intends to match existing policies and coverages to avoid an "enrollment gap" for workers. The enrollment period probably will start in August, Calano said.

"I believe disruptions are going to be held to a bare minimum," Cox observed. Nine out of 10 doctors covered are common between the Blue Cross and Aetna plans. Aetna is now approaching the other medical care providers.

Cox also mentioned that Florida Association of Counties and Aetna partnered on the deal. "We have a little more bargaining leverage with providers" because of the larger pool through the association.

More good news for employees is the anticipated reduction in price for family coverage, Cox said.
Carl Orth can be reached at corth@suncoastnews.com or 727-815-1068.

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