Free Health Insurance Ends for Mackinaw Village
Village employees will pay 10% for health Insurance premiums.
Mackinaw Village Board pays the entire health Insurance premiums for its employees which will change from the 1st of April. The Employees will pay 10% for their family's coverage.
The board president Craig Friend offered the employees 2 options.
The Village has been paying $76,000 annually to cover insurance premiums for 6 full time employees. According to the board this amount would increase to $103,883.64 yearly.
The amount paid by the employee to cover the family would be $1,328.44 annually and $134.84 per month, with The Village covering the $22,289 which is the additional amount on premiums annually.
According to the 2nd option, the employees would have a health savings account, where the deductible would be higher with a lower premium. The village would put the premium savings in a savings account for the employee.
The health savings account option would have saved the village $5,840 in premium costs while adding $18,000 in costs to contribute to the health savings accounts for an overall annual increase of $12,160 to $88,000.
Village Treasurer Scott Eidenmiller told the board in February an industry wide increase will be occurring, and the Health Care Reform Act has something to do with the increases in insurance rates. He was willing join hands with other villages and buy in bulk to save costs.
References:
Hannah Punitha (IRDA Licence Number: 2710062)
Ken Harris
Source: Medindia