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Elon picks new health plan for employees

Friday, February 19, 2010
(Updated 3:40 pm)

The Town of Elon will change its employee health plan as of March 1.

At a special meeting called Friday, the Board of Aldermen voted for an alternative plan under the town’s current carrier, WellPath,
Keeping the existing plan would have resulted in a 23 percent premium rate increase.

The town’s total health insurance cost had been about $260,000, and the renewal would have added almost $65,000 in health-insurance cost for the town, said Mike Dula, Elon’s town manager.

Because of this increase, proposals from other companies were reviewed, although no alternative available was less expensive.

Dula said the alternative plan would cost the town about $300,000, a 14 percent premium increase over the previous plan.

Under the new plan, employees will see some reductions and changes in benefits. Because of this, the town will offer employees the option of individually choosing a plan similar to what they'd had for an added cost.
 

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