City staff report steep health-insurance renewal; council to weigh plan options

Staff reported that the city's health-insurance renewal came back with a proposed 19% increase. The presenter said the city's broker identified an alternative that would raise premiums about 16% under the current plan and that staff has asked the broker and Wisconsin County Association for options that might bring the increase closer to 12%, including higher deductibles, changes to coinsurance, or adjusting the employer-employee premium split.

"Our renewal came back in at an increase of 19%," Emily said while explaining the conversations with the broker and the trade-offs the city faces. She noted the city has limited market options given the last market bid and that a narrow-network plan might not be viable for employees. Council members flagged the magnitude of a single-year increase and suggested staff continue exploring different plan designs and the potential for spousal-surcharge policies or incentives.

Staff said they will bring more concrete options to the next budget work session and that any change to employee contributions or plan design will be discussed with union and non-union stakeholders before final adoption.