If approved, the district would contract with Network Health Plan for health insurance and The Hartford for life insurance.
Chief Financial Officer Don Hietpas estimated health insurance savings in the first year would be between $1.1 million and $2.4 million, depending on the plans employees choose, a memorandum to the board said. The premium increase would be capped at 6.5 percent in the second year.
If approved, the new health insurance would take effect Jan. 1, and last through 2017.
The district would save an estimated $41,800 in life insurance by switching to The Hartford, a memorandum said.
Hietpas said the school district asked for bids on its point of service health plan to match its current coverage. While the point of service plan will remain the same, there are slight changes to the district’s HMO.
“The HMO has a slightly narrower network and some other stipulations that go with it if selected by the employees,” Hietpas said.
The life insurance coverage through The Hartford would remain the same, except that future retirees would not be able to remain on the district’s plan after they retire, Hietpas said.
“We currently allow retirees to remain on the plan at their cost — that will no longer be an option for retirees going into the future,” Hietpas said.
Retired employees who purchased life insurance through the district will be able to remain on their plans.
The board’s Personnel Services Committee approved the proposals on Thursday. The full board will vote on the package at 6 p.m. Monday at the Thomas G. Scullen Leadership Center.