The days of free health insurance for city of Hays employees could be nearing an end.
At Thursday’s Hays City Commission work session, city staff presented next year’s lowest bid health insurance plan which was with the city’s current provider, Coventry Health Care.
Human Resources Director Erin Giebler said, due to high claims and utilization of the plan, the city will see a 19.5 percent increase in the plan’s cost.
Commissioner Kent Steward said he was not going to win any “popularity points,” but he did not agree with the plan, adding he believes the city needs to stop living in what he called a “fantasy world.”
“I think we need to move on to where an employee of the city of Hays, like almost every other employee in this community pay of portion of (the health insurance premiums) … at least a small token,” he said.
Because of previous years’ savings, the city has enough money in reserves to pay the for the increase this year without a policy change.
Mayor Henry Schwaller said going forward, the city should consider a cap on health insurance costs when the city budget is determined, and if the insurance plan goes over the cap, the employees should pay the portion not covered.