Nelson County supervisors back offering high-deductible plan as part of FY25 options

On March 15, 2024, the Nelson County Board of Supervisors in Lovingston agreed in principle to include a High Deductible Health Plan among the Anthem insurance options staff will offer to county employees during FY25 open enrollment.

County Administrator Candice W. McGarry presented a budget outline and said staff would present three options from Anthem: Key Advantage 250, Key Advantage 500 and a new High Deductible Health Plan (HDHP). Linda K. Staton, the county's director of finance and human resources, reviewed estimated employer costs and said the overall health insurance increase for FY25 was about 11 percent. Staton gave the board employer-cost estimates for the baseline option (Key Advantage plans) and noted a scenario analysis showing employer cost changes if employees shifted into the HDHP.

Staton told the board the county had set aside $90,000 in the Employee Benefits line to cover premium increases and that the county must cover at least 80 percent of the employee single premium. She said the individual deductible under the proposed HDHP would be $3,200 and that employers commonly pair HDHPs with a Health Savings Account (HSA) option; staff will investigate HSA vendors and payroll-deduction mechanics.

Vice Chair Ernie Q. Reed and other supervisors discussed how employees might respond, with some noting that younger employees often prefer lower premiums even when deductibles are higher. McGarry recommended offering the HDHP as an additional choice rather than replacing the existing plans; the board voiced support for Option 1 with the HDHP included and asked staff to bring a formal resolution at the next budget work session.

Staff also said Anthem needs renewal materials by April 1 and that open enrollment is planned for the first two weeks of May. The board authorized staff to return on March 18 with a formal health-insurance resolution and additional details on HSA options.

What this means

The board has not yet adopted final premium-sharing levels or a formal resolution; it reached consensus to include the HDHP as an employee option and directed staff to develop the implementation details and vendor comparisons. Any change to employee premium contributions, dependent coverage, or employer HSA contributions will be specified in the resolution staff returns with at the next work session.