2020 2020-2021 2021 MEDICAL PLAN RECOMMENDATIONS April 13, 2020 - PowerPoint PPT Presentation

2020 2020-2021 2021 MEDICAL PLAN RECOMMENDATIONS April 13, 2020

2019 2019-2020 PLAN YEAR REVIEW SEPTE TEMBER 1, , 2019 - AUGUST 31, , 2020 • Plan changes implemented 2019-2020 • Increased district contribution to $350/month • Increased premiums to all plans except High Deductible (Employee Only) • Plan data as of February 2020 • High-Deductible Plan claims are 1.8 times > than the same reporting period during the 2018- 2019 plan year • High-Deductible Plan expenditures are 5% < revenue • Core Plan expenditures are 235% > than revenue • Basic Plan expenditures are 36% > than revenue • Prescription costs are $198,871 higher than the same time period during the 2018-2019 plan year • Stop Loss Claimants • Four claimants with claims exceeding $250,000 • Eight claimants with claims exceeding $100,000

PROPOSED PREMIUMS: HIG IGH DEDUCTIBLE PLAN Number of Employees on 2020-2021 2020-2021 Monthly each coverage Proposed Premium with District 2020-2021 Monthly HDP level Premium District Contribution PHA Incentive Contribution & PHA Increase Employee 649 $ 485.00 $ (350.00) $ (25.00) $ 110.00 $ 35.00 Employee + Spouse 36 $ 1,086.00 $ (350.00) $ (50.00) $ 686.00 $ 142.00 Employee + Child(ren) 204 $ 979.00 $ (350.00) $ (25.00) $ 604.00 $ 128.00 Employee + Family 130 $ 1,389.00 $ (350.00) $ (50.00) $ 989.00 $ 181.00 Total 1,019 (69%) PHA Incentive $25.00 – Employee Only & Employee plus Children $50.00 – Employee plus Spouse & Employee plus Family

PROPOSED PREMIUMS: BASIC PLAN Number of Employees on 2020-2021 2020-2021 Monthly 2020-2021 Basic Plan with each coverage Proposed Premium with District Monthly PHA level Premium District Contribution PHA Incentive Contribution & PHA Increase Employee 274 $ 715.00 $ (350.00) $ (25.00) $ 340.00 $ 93.00 Employee + Spouse 18 $ 1,401.00 $ (350.00) $ (50.00) $ 1,001.00 $ 183.00 Employee + $ (350.00) $ (25.00) Child(ren) 74 $ 1,231.00 $ 856.00 $ 161.00 Employee + Family 54 $ 1,763.00 $ (350.00) $ (50.00) $ 1,363.00 $ 230.00 Total 420 (28%) PHA Incentive $25.00 – Employee Only & Employee plus Children $50.00 – Employee plus Spouse & Employee plus Family

PROPOSED PREMIUMS: CORE PLAN Number of Employees on 2020-2021 Monthly each 2020-2021 Premium with coverage Proposed District Contribution 2020-2021 Monthly Core Plan with PHA level Premium District Contribution PHA Incentive & PHA Increase Employee 31 $ 1,051.00 $ (350.00) $ (25.00) $ 676.00 $ 137.00 Employee + Spouse 0 $ 2,210.00 $ (350.00) $ (50.00) $ 1,810.00 $ 288.00 Employee + Child(ren) 4 $ 1,841.00 $ (350.00) $ (25.00) $ 1,466.00 $ 240.00 Employee + Family 3 $ 2,622.00 $ (350.00) $ (50.00) $ 2,222.00 $ 342.00 Total 38 (3%) PHA Incentive $25.00 – Employee Only & Employee plus Children $50.00 – Employee plus Spouse & Employee plus Family

2020 2020-2021 PROPOSED PLAN CHANGES • Increase the deductible and out-of-pocket maximum on all three medical plans • High Deductible Plan • Increase deductibles from $2,500 individual/$5,000 family to $3,500 individual/$7,000 family • Increase maximum out-of-pocket from $7,000 individual/$14,000 family to $8,000 individual/$16,000 family • Basic Plan • Increase deductibles from $1,100 individual/$2,200 family to $2,000 individual/$4,000 family • Increase maximum out-of-pocket from $7,000 individual/$14,000 family to $8,000 individual/$16,000 family • Core Plan • Increase deductibles from $750 individual/$1,500 family to $1,250 individual/$2,500 family • Increase maximum out-of-pocket from $7,000 individual/$14,000 family to $8,000 individual/$16,000 family

2020 2020-2021 PROPOSED PLAN CHANGES • Increase the Specialty drug for all medical plans from $250 co-payment per prescription to 30% of the negotiated cost up to a maximum $1,500 per prescription • Change pharmacy providers from Maxor to PCA RX • Change dental provider from Ameritas to Cigna resulting in a larger provider network and a 11.5% reduction in premium costs • Change supplemental accident provider from Allstate to American Fidelity

SURROUNDING DISTRICT CONTRIBUTIONS School District 2018-2019 District Contribution Northwest ISD $350.00 Decatur ISD $396.00 Lewisville ISD $326.00 to $393.00 Mesquite ISD $266.00 to $297.00 Irving ISD $351.00 Allen $340.00 Frisco ISD $325.00 Garland ISD $325.00 Coppell ISD $325.00 McKinney ISD $306.00 Carroll ISD $300.00 Fort Worth ISD $290.00 Grapevine-Colleyville ISD $285.00 Plano ISD $300.00 Carrollton-Farmers Branch ISD $278.00 Keller ISD $275.00 Birdville ISD $260.00 Denton ISD $260.00 Ferris ISD $250.00 Lake Dallas ISD $245.00 Eagle Mountain Saginaw ISD $250.00 Hurst-Euless Bedford ISD $225.00

QUESTIONS