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.
