Board approves insurance changes to shore up self-insured medical fund, aims to raise $1.6 million

After extended discussion, the Lindbergh Schools Board approved changes to the district's 2027 employee medical, dental, vision and life insurance programs to address a multi-year deficit in the self-insured medical fund. Dr. McKenna introduced Ann Woreren, the director of benefits, who outlined the plan's goal to increase fund revenue by $1.6 million to restore sustainability and avoid transitioning to profit-driven insurers.

Woreren and Dr. McKenna described prior cost-saving steps the district took: consolidating two PPO plans in 2024 (saving about $700,000), switching pharmacy-management to Smith RX (about $1 million saved), and one-time board contributions that have supplied over $1 million to the fund. Board members discussed use trends and cost drivers; district leaders said both utilization and unit costs have risen and that the proposed changes are intended to limit the need to "go to the marketplace," where premiums could be much higher.

"We have a goal with this plan to um increase revenue by $1.6 million, which should shore up the program," Dr. McKenna said while framing the proposal and its rationale. The plan retains a free/no-cost option for employees who prefer it, includes education sessions on HSA and high-deductible options, and provides a one-time $600 HSA preload for employees who transition to the HSA option to ease the change. The motion to approve the insurance coverages and costs for 2027 passed on a recorded voice vote with board members in favor.