Idaho Cities Consider Going Self-Insured for Employees

By | August 25, 2011

Leaders from at least 40 Idaho cities are considering a plan to offset the rising cost of health insurance by becoming self-insured by the end of the year.

Under such a system, city health benefits would be paid for by employees, while funding and managing claims would be done by the city. Some supporters say such a system would be a cheaper alternative than many of the plans offered by private insurers.

But the Times-News reports the idea is hardly novel to some.

The city of Burley has been self-insured for 12 years. City Administrator Mark Mitton says managing the plan for a small pool has kept costs down.

Still, Burley is among the cities considering joining the Idaho Independent Intergovernmental Authority to expand buying power and lower costs.

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