The city gets a large health insurance refund

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The city of Emporia has received a health insurance refund of $583,826 for 2011 from Blue Cross and Blue Shield of Kansas, an increase of $403,789 from the previous year.

“Blue Cross/Blue Shield will talk more about this Wednesday, but basically, the short version is they set rates based on what they think you are going to spend the next year, which is kind of a moving three-year average,” City Manager Matt Zimmerman said. “But because we haven’t been with them until 2009, they had to estimate higher because we were an unknown quantity.

“Well, now they’ve got three years under their belt, and they can see the amount of utilization that we have, they realized that the rates were probably higher than they needed to be, and so that built a reserve. In addition, as we have been building more and more reserve over time because their rates were higher than they needed to be, that created a larger reserve pool than they needed. And so that increases the refund.”

In rounded numbers, the city’s employees’ share of the refund is $141,117, and the city’s share is $398,776, Zimmerman said in a Feb. 17 interoffice memorandum. The library’s share of the refund is $16,936, and the Recreation Commission’s share is $26,995.

The city commission will determine how to utilize the refund during the Wednesday study session, Zimmerman said.

Kansas Blue Cross Health Insurance - News


The city gets a large health insurance refund

By Jason Johnston The city of Emporia has received a health insurance refund of $583826 for 2011 from Blue Cross and Blue Shield of Kansas, an increase of $403789 from the previous year. “Blue Cross/Blue Shield will talk more about this Wednesday,



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