The village of Orland Park is expected to see “substantial” savings in health insurance premiums over the next several years while its nearly 300 employees and family members will continue receiving the same quality health coverage.
Trustees voted unanimously Sept. 22 to join the Intergovernmental Personnel Benefit Cooperative, a 175-unit government co-op that uses economies of scale to keep prices down by spreading the costs across a larger number of members.
“Our employees and their dependents deserve and will continue to receive the same quality healthcare and healthcare providers that they’ve been receiving, but now the village will save money as part of a larger pool,” said Village Manager George Koczwara.
Koczwara said there has been an uptick in the number of claims filed by village employees, which has resulted in premiums increasing. He said it was “incumbent on the village to evaluate all its options and see where we could save some money.”
He said joining the larger IPBC group “leads to a lower cost per member as fixed costs are now spread out over more people.”
IPBC Executive Director David Cook said in addition to saving Orland Park “considerable money over the next several years,” the village will also receive annual dividends.
“There will be absolutely no disruption in service changing over,” Cook said, noting that Blue Cross Blue Shield will continue being the village’s healthcare provider. “This will be a seamless process. This really is a win-win.”