Insurance renewal change eyed (11/1/04)

They’d like to change the renewal date of the county’s health insurance coverage to Jan. 1.

But Jay County Commissioners decided this morning they’d like to talk that move over first with their agent of record.

Commissioners Gary Theurer and Mike Leonhard, who met this morning with a representative from the county’s health insurance underwriter, plan to meet with their agent of record and local agent to discuss the renewal change — and whether to seek quotes from other companies for coverage of county employees.

Kim Fitch, a strategic account executive for UnitedHealthcare, discussed several issues with the commissioner this morning.

But before any decisions were made, Theurer and Leonhard, meeting in the absence of Commissioners President Milo Miller Jr., agreed to schedule a meeting with agent Edward Culpepper Cooper and local agent Steve Stockton.

Theurer said he felt the agents should both be informed and do some of the necessary work to make the shift to a Jan. 1-Dec. 31 health insurance contract.

Currently, the health insurance coverage for county employees has a start date of Feb. 1. But deductibles are figured on a calendar year. So any deductibles incurred during January count towards the current calendar year and not towards the previous 11 months of health insurance coverage.

So employees who incur major medical costs in January will again pay towards their deductible — even if they had met that deductible in the previous year.

Theurer and Leonhard asked Jay County auditor Freda Corwin to schedule a meeting with Cooper and Stockton for Monday, Nov. 8 or Monday, Nov. 15.

At one point in the discussion, Theurer asked Fitch if the agent of record should be involved, prompting Leonhard to say, “Let’s just get rid of the agent of record.”

Fitch, who said she wants to keep the county’s business, said she wouldn’t recommend dealing directly with her company or any other insurance underwriter.

“You definitely need an agent to do the claims issues, be the middleman, (and) shop around (for other quotes),” said Fitch.

Theurer, who said he felt like Cooper and Stockton should have been contacted earlier about the desire to switch to a Jan. 1 renewal, said he didn’t want the two agents to be upset with Fitch.

“You’re my client, too, and I want to keep you,” Fitch said.

Although Fitch does not have firm numbers for a renewal with her company, she did show Leonhard and Theurer that in the last 12 calendar months (October 2003 to September 2004) the amount of claims paid have been 72 percent of the premiums paid ($520,622 in payments; $725,322 in premiums).

Those totals do not include some costs such as commissions and administration, Fitch said.[[In-content Ad]]