City of Marianna Changes to “Self Insurance” Program

In a cost saving move, the City of Marianna has changed from their existing Blue Cross – Blue Shield health insurance plan to a new, self insurance group program offered by Public Risk Management. “This new plan will offer increased benefits to the city employees while at the same time reducing the overall cost of the benefit”, stated Commissioner John Roberts.

Commissioner Jim Wise stated that he agreed that the proposed plan did provide more coverage for employees at a lower premium cost, but he still had some serious concerns over the long term risks for the city which might result from failure of other members of the group to perform. However, with a 60 day escape clause in the contract, he felt the risks were minimal.

The old Blue Cross plan would have raised the premium costs from $453/month per employee to $475 / month per employee this year. The new plan has a monthly premium of $423, and offers several additional benefits.

The Commission approved entering into the new arrangement by a 5-0 vote.