Commissioners: No change regarding health insurance

Frank Denzler

The Rush County Commissioners met Monday. A major issue brought before the panel centered on medical insurance for county employees.

From July 2005 to July 2006 the county had a 35 percent increase in insurance claims over the same period a year earlier. As a result, there were limited options for the county in regards to companies tendering the county proposals for insurance coverage.

“It seems that roughly every four or five years a county or municipality will show a marked increase in the number of claims. Rush County was just at that stage during the previous year,” Ruth Routzahn, of Routzahn Agency Insurance Planning Services told the commissioners.

As a result of the increase in claims a reduced number of insurance carriers declined to seek the county as a client.

“Some (insurance) carriers declined to submit a quote for coverage due to the health issues of some of our county employees,” Rush County Auditor Deborah Adams said.

The current contract with the Routzahn Agency expires July 31.

For a number of years the county has used Routzahn as a broker to meet insurance planning needs and the county graciously received an extended deadline from the agency so county leaders could decide which carrier they would award the 2006/2007 contract to.

“A second company sought to submit a quote to the county in the 11th hour, and in an effort to meet that company’s request to quote specifications we were pressed for time; however, we did meet their request,” Adams reported to the commissioners at a June meeting.

“I really don’t like being forced to make a decision today, however that is just the business aspect of a decision of this nature. We were already given an extension to review all of the aspects of the contract,” commissioner Tom Barnes said.

Projections by insurance companies are based on trends and other variables. Rush County was projected to face a 34.6 percent increase in claims from July 2005 to January 2006; the actual figures reflected a 31 percent change. Using a similar formula, it is projected that the county will face $595,000 in insurance claims during 2007.

“I am not pleased by the increase, but that is just the cost of ding business anymore. They (the Routzahn Agency) have stood beside us through good and bad times. That is worth something in today’s age,” commissioner Dwight Sweet said.

Following a lengthy discussion the county leaders voted to retain the Routzahn Agency.

The new contract reflects a 24 percent increase in the monthly premium cost the county will be responsible for from August 2006 to July 2007.

According to the commissioners, even with the increase in premiums the cost to the county will be considerably less than alternative choices.

Another medical issue was brought before the county leaders by Rush County Treasurer Mary Ann Beard. Beard updated the commissioners on a means for the county and all county residents to save money on prescription medications.

Beard approached the commissioners earlier this year regarding participating in the NAKO Drug Plan. Following a $400 investment (which the county has already paid), county residents will soon be eligible to receive a 20 percent savings on all prescription drug purchases made locally.

“Currently, Montgomery and Blackford counties are the only counties in the state taking advantage of this plan. This is not an insurance plan, this is a discount program,” Beard said.

She continued by saying that the discount card will soon be made available locally and can be used on each purchase.

“The program offers the lowest market price guaranteed on all purchases,” Beard said.

It is anticipated that the program will save the county a substantial amount on inmate prescription needs while they are incarcerated at the Rush County Jail.



Frank Denzler can be contacted at (765) 932-2222 or via e-mail at frank.denzler@cnhimedia.com. To add a comment to this story visit our Website at www.rushvillerepublican.com.

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