The Facts On Broward County
Public Schools Health Plan

FREQUENTLY ASKED QUESTIONS

Who is paying for the increase in Broward County Public Schools health insurance costs this year?
Broward County Public Schools is one of the few companies that pay for their eligible employees’ health insurance. BCPS pays 100 percent of the employee-only health insurance costs for all eligible employees who participate in the HMO or Consumer Driven Plans.

Broward County Public Schools pays 36 percent of the optional PPO insurance plan premiums for 2010, with the employee responsible for paying the balance, including any additional increases (34.63% for fiscal year 2009/10). This option is utilized by less than one percent of BCPS staff that is covered by VISTA insurance.

Broward County Public Schools employees continue to be responsible for covering the costs of dependents insured on the plan.

How much of an increase has BCPS seen in the cost of health insurance?
On behalf of its employees, Broward County Public Schools absorbed an $11.6 million health insurance coverage increase for the fiscal year 2009/10.

How much did health insurance premium options for dependent children increase? Why?
The premiums for VISTA’s Kids’ Plan Basic and Kids’ Plan Enhanced options increased by 35 percent and 45.9 percent, respectively. The increases were due primarily to the inordinate number of medical claims received by the insurance carrier the previous year.

Will there be any cost relief to BCPS employees in terms of medical insurance?
Broward County Public Schools will be releasing a medical RFP (Request for Proposal) during the first half of 2010 in an effort to lower overall insurance costs that are passed on to its employees.

THE DISTRICT RESPONSE
Affordable health care is one of the biggest issues facing Broward County Public Schools along with public and private corporations across the nation every day.

Broward County Public Schools offers a comprehensive benefits plan (health, dental, life, vision, disability, etc.) for all of its eligible employees. In 2008, BCPS selected VISTA, a Coventry Health Care Plan, as its medical insurance carrier.

Broward County Public Schools covers 100 percent of the employee-only premiums in the HMO and Consumer Driven plans offered by VISTA. BCPS covers 36 percent (for 2010) of the premiums associated with the VISTA PPO option. This option is utilized by less than one percent of BCPS staff that is covered by VISTA insurance. The overall cost increase to Broward County Public Schools for the fiscal year 2009/10 is $11.6 million.

The premiums for VISTA’s group medical HMO and Consumer Driven plans both increased by 9.06 percent for 2010, increases that were not felt by those carrying employee only coverage. The premiums associated with the PPO plan increased by 34.63 percent, the majority of which is assumed by the employee.

Rates for dependents on the VISTA HMO and Consumer Driven plans also increased by 9.06 percent. On average, a BCPS employee who insures one dependent on either the HMO or Consumer Driven plan experiences an increase of approximately $485 annually ($40 per month). Similarly, in terms of family coverage, the average premium increase is 9.06 percent, reflecting an annual policy cost increase of approximately $891 ($74 per month).

An additional option provided by VISTA for employees with dependent children is the VISTA Kids’ Plans – Basic and Enhanced. These two plans offer a premium savings, based on the age of the child, when compared with the HMO and Consumer Driven plans. The largest cost increases in the complete VISTA insurance program are reflected in these two options. The Basic Kids’ Plan has increased 35 percent from 2009 to 2010 and the Enhanced Kids’ Plan increased by 45.9% over the same timeframe. During open enrollment, the BCPS Benefits Office provided communication and guidance to help those families utilizing the Kids’ Plan to select a comparable and more cost-effective option.

Broward County Public Schools believes that VISTA offers a wide range of medical insurance plans to meet the goals and coverage of its eligible employees and their families. At the same time, the high costs of insurance as a whole have made Broward County Public Schools reconsider its medical plan options. During the first half of 2010, BCPS will issue a medical RFP (Request for Proposal) for the 2011 plan year.