Kerr County faces 13% jump in employee health insurance; commissioners schedule vote next Monday

Kerr County commissioners were told on June 1 that the county’s health plan administered through the Texas Association of Counties faces a 13% rate increase that would raise the county’s bill by roughly $583,000 for the coming plan year.

HR benefits lead Miss Apata presented the options to the court, saying the carrier’s preferred approach — the county absorbing the full 13% increase — would leave employee premiums and cost‑sharing unchanged but increase county expense. An alternative plan offered by HR would reduce the county’s increase to about an 8.33% rise by raising the individual deductible from $1,500 to $2,000 and increasing office visit copays from $30 to $35. That option also included a proposed increase in the contribution for pre‑Medicare retirees from $282.77 to $350.

“Those are the trade‑offs,” Miss Apata said, explaining the alternative would save the county approximately $213,557 versus absorbing the full 13% increase while shifting somewhat higher out‑of‑pocket costs to employees.

Commissioners pressed on the human impact of higher deductibles and co‑pays, noting that a $500 increase in deductible could equal an employee’s entire pay period for some staff. Officials discussed utilization trends, pharmaceuticals and referral costs as drivers of rising premiums and noted TAC’s pooled plan had run a loss ratio near 125% this year, well above the insurer’s target.

County Judge summarized the procedural deadline that necessitated rapid action: TAC requires counties to state which plan they will adopt by June 26. The judge and commissioners said they would not make the choice in the workshop but would place the item on the regular commissioners court agenda next Monday to permit a formal vote with all members present.

What’s next: The commissioners court will consider HR’s full plan comparison and a formal motion on the insurance option at its next regular meeting. Any vote is expected to specify whether the county absorbs the full 13% increase, adopts the higher‑deductible alternative, or selects another option from the materials presented.