Knox City Council Approves Change of Insurance Provider

Knox City Council
Knox City Council
The Knox City Council is reconsidering their insurance agreement for city employees. With insurance costs set to go up on March 1 for their current provider, Starmark, Mayor Rick Chambers informed the council that the total monthly premium would increase by $4000. Employees currently pay 15 percent of the cost of their insurance with the city covering 85 percent.

Chambers told the council that the city had previously switched from Anthem to Starmark because of increasing costs for Anthem, but now Chambers said the situation has been reversed. Anthem is now offering better rates, and Chambers said the company would now provide the city with insurance at a cost of nearly $10,000 less than what they are currently paying.

However, some costs would increase: co-pays would go up from $20 to $25, out-of-pocket benefits would increase from $2000 for the single plan to $3000, and the family plan out-of-pocket benefits would increase from $4000 to $6000.

The council approved a motion to change insurance carriers, but the change won’t be immediate; Chambers told the council that they will have to delay the switch for a month, because an employee’s wife is pregnant and they cannot switch insurance carriers for another month. So, the city will continue to pay the higher premium for another month and begin the new policy with Anthem on April 1.