Board of Directors to Vote in February on Medical Insurance Plan Changes & HRA Contributions

In recent months, agency representatives and the staff Insurance Committee have been meeting with our employee benefits consultants to analyze the Agency’s medical insurance plans and the Health Reimbursement Arrangement (HRA).  

As you may be aware, health care costs in Iowa and across the nation have continued to increase substantially. Despite these increasing costs, the Agency has managed to maintain consistent premiums since July 1, 2014, and offer comprehensive coverage while minimizing the financial impact on staff contributions. This balanced approach has been and will be, our philosophy as we approach our insurance planning every year. 

The Agency has made only very minor changes to insurance plan designs over the past several years. However, in light of a significant increase in insurance claims this past year, we anticipate that we will need to make some changes to our insurance plans. Staff will be asked to share some of these additional costs. By making incremental changes to the insurance plans, we expect medical insurance premiums will increase by 2% or less next year. If no changes are made, premiums would increase by nearly 8%, effective July 1, 2020.   

Agency representatives will present medical insurance plan design recommendations to the Heartland AEA Board of Directors at its Feb. 11 meeting. The recommendations will also include increases in the Agency’s contributions to the HRA. Educational articles and sessions will be provided to all staff in the coming weeks to help you evaluate and select the insurance plan that meets your needs and budget.  

In the meantime, if you have questions, contact Kurt Subra, Chief Financial Officer.