We came across this recent press release we wanted to share to show not everything in the health world is negative. There are still organizations out there looking out for the little guy and keeping costs down. Here is their press release:
VALLEY SCHOOLS DECREASES ADMINISTRATIVE COSTS FOR MEMBERS THROUGH COST CUTTING AND TOUGH NEGOTIATION Phoenix, Arizona – The Valley Schools Employee Benefits Trust (VSEBT) announced today that the administrative costs for its members will be significantly reduced from the amount earlier expected. In fact, there will be no increase at all.
Initially, independent actuaries had built in an increase due to the large overall increases nationwide that are occurring in health care administration because of new rules and regulations going into effect. “At a time when others are reducing options and increasing prices, I am glad we are able to expand choices and maintain administrative costs for our members even though there may have been overall rate increases,” said Tom Boone, CEO of Valley Schools.
The ability to keep administrative costs at a zero percent increase is attributed to three major factors. First, the staff and operations at VSEBT have been asked to do more with less, forgoing any increases in pay, and working longer and harder. VSEBT Administrator Andrea Billings said, “Despite our rapid expansion in size in recent years, we have held our staff and salaries the same. We know our members are going through tough budget times, and we want to help them however we can. I want to express my appreciation to the VSEBT staff for their continued outstanding efforts and dedication.”
The second major factor was taking a continuing positive partnership with our medical, dental and other carriers that provide services to VSEBT members. They were also willing to keep their administrative costs at the same levels for the upcoming year.
The final factor was a favorable renewal of the stop loss coverage which protects VSEBT members from the risk of high cost claims. Health benefits are the second largest cost for our members next to salaries. Savings on these health benefits free up monies for vital public services and save tax dollars. “We are very happy to be able to once again hold down administrative costs to no increase to allour members,” said Tom Boone. “It really is about cutting operating costs where possible to maintain classroom funding for our children and to protect vital municipal services.”