Cooper City officials are grappling with a significant increase in health insurance costs, with projections suggesting a rise of 30-40% for the upcoming budget year. During the City Commission Budget Workshop on July 22, 2025, discussions centered on the implications of these rising costs for both the city and its employees.

City representatives highlighted that while the individual health insurance coverage is currently at 78%, many other cities cover up to 100%. This discrepancy raises concerns about competitiveness in attracting and retaining talent. The family coverage, however, is deemed to be at an appropriate level compared to other municipalities.

A key point of contention was the structure of the health insurance plans. Currently, Cooper City operates a two-tier plan, which is uncommon in the industry. Officials noted that this structure could be inflating costs, as family plans are significantly more expensive—up to 50% higher than employee-spouse plans. The city is also facing a staggering loss ratio of 152%, far exceeding the average of other cities, which hovers around 99%. This alarming figure indicates that the city is spending considerably more on health claims than it is collecting in premiums.

As the city prepares for the upcoming budget, officials are weighing their options carefully. The rising health insurance costs could have far-reaching implications for the city’s financial health and its ability to provide competitive benefits to employees. The discussions at the workshop signal a critical juncture for Cooper City as it navigates these challenges and seeks to balance fiscal responsibility with employee welfare.