Chicago Suburb Government Offering Cash Incentives For Employees To Opt Out or Downgrade Health Insurance Plans
Posted Oct 22 2010 10:35pm
This looks like a start to move employees to an insurance exchange in time and to shop for their own. When you stop and think of the administrative time that companies and small governments are beginning to complain about, this township decided to give cash and let the employees do their own thing. Perhaps there will be more agreements as such with others looking at even larger dollar amounts. BD
Romeoville will offer incentives to employees who opt out or downgrade their health insurance plan in an effort by the suburb to save money.
The first option, according to village trustees who approved the plan Wednesday, will allow employees to enroll in an HMO plan rather than a PPO plan.
While the HMO benefit is for family coverage only, those who decided to change to an HMO will receive $250 a month for a maximum of $3,000 annually. The plan will begin this November.
The second option will allow employees to waive coverage. Those who had an HMO will receive $333 a month for a family with a maximum of $4,000 annually. Those who had the plan for themselves only will receive $166 a month with a maximum of $2,000 annually.