Town official calls 9.9% increase ‘outrageous’ but better than other towns

By Nick Schofield

On Feb. 26, the Milford Select Board voted in favor of new health insurance rates, approving a 9.9% increase in plan costs for town employees and retirees, as recommended by the town’s Insurance Advisory Committee (IAC).

Kristin Melpignano, the town’s human resources director, appeared before the board to detail the negotiation process with Blue Cross Blue Shield and the IAC’s recommendations. She said the committee initially was presented with either a 14.4% or 10.4% increase in insurance rates, depending on the inclusion of GLP-1 medications.

“Most municipals … are dropping [GLP-1s] because they’re just driving up the prices too much,” said Melpignano. As a result, the IAC opted to keep the current plans it has in place, minus the weight loss medications.

Although she characterized the 9.9% increase as “outrageous,” Melpignano told the board the final negotiated rate was better than other communities the IAC had reviewed, some of which saw increases between 15% and 20%.

She noted the recommended dental plan had a smaller price increase of 3%, which mostly covers administrative costs.

Melpignano said a lot of town health insurance participants are accessing Blue Cross’ Access Blue New England Saver plan, which is a lower cost plan with a higher deductible. 

“I think folks that fit into that category are taking advantage of that much lower cost,” she said, adding the deductible for that plan only increased $50 from the previous year.

She also reported the majority of the town’s ancillary benefits and optional insurances will shift from Colonial to The Hartford. The insurance company is dropping some of its prices and are offering no medical questions this enrollment period, with guaranteed issue.

“That’s about as good as it gets, on the bright side,” Melpignano concluded.

Select Board members commended Melpignano and the IAC on their work to obtain a favorable rate for the town.

“The fact you negotiated a more favorable rate here, I think, is really commendable,” said Chair Thomas O’Loughlin.

Member Paul Mazzuchelli also extended his thanks to Melpignano, noting that health insurance costs are a national concern and not just a Milford issue.

Prior to their vote of approval, Melpignano added that the town’s employee assistance program would increase from $2 to $2.10 per contract.