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The Sumter County Commissioners heard a presentation by John Legget, of MSI Benefits Groups, on rising insurance costs. He started with a recap of 2024, stating that they were able to haggle to keep increases to insurance costs minimal. However, this year there would be significant increases.

He gave the current cost of coverage for the insurance company covering the County. “For every dollar the County paid in premium, Cigna paid out $1.14.”

Legget stated that 18 claimants, making up 9% of the membership, were paid out just under $1.7 million in claims. “15 are active. Our top claimant there is no longer active.” He stated that it was usual for 5-10% of the members to drive up 80% of the cost.

Legget stated that Cigna had proposed a 47% increase. Unlike the prior year, the price could not be significantly haggled down. Legget found Anthem after going to the market, however, the increase to the County would still be significant.

The past year, family coverage was reduced from 53% to 40%. Legget presented an option to reduce it to 30%. “The message that the Board gave us was that we want to continue to kind of reduce this, the amount that we’re contributing towards family coverage.”

“We’ve got 113 enrolled in the low plan, 57 enrolled in the high.” He gave those effected on the high plan. “Six people with a spouse, five with a child, one person with full family. On the low you got nine with a spouse, one person with a child, and four with family, so those are the ones that would be affected with the deduction increase.”

Commissioner Jessie Smith made a motion to approve option five, which results in family contributions dropping from 40% to 30% and the creation of a third plan. The measure was seconded by Commissioner Mark Waddell, passing unanimously.

When asked if the increase may disincentivize people with families from working for the County, Chair David Baldwin replied, “I hope not. It’s something that all businesses and all counties and cities all have to struggle with.”