Cooper City officials are poised to make a significant shift in their employee health insurance plan, potentially saving the city $104,000 annually. During the City Commission Budget Workshop on July 22, 2025, discussions centered around the transition from the current insurance provider to Blue Cross Blue Shield, which offers a Preferred Provider Organization (PPO) plan that aligns more closely with the needs of city employees.

The current plan has been criticized for its high costs, driven by a loss ratio of 152%, largely due to ongoing catastrophic medical cases. City officials emphasized that while the existing plan is not an HMO, it has become financially burdensome. The proposed switch to Blue Cross Blue Shield is seen as a way to alleviate some of these financial pressures while maintaining a comparable level of coverage.

City Manager's recommendation to move forward with Blue Cross Blue Shield was met with support, as it promises to provide similar benefits without the restrictive nature of an HMO. The new plan is expected to be effective starting January 2026, with open enrollment for employees scheduled for November 2025.

In addition to the cost savings, officials discussed the importance of creating a rate stabilization account with the savings generated from this switch. This account would help buffer against potential future rate increases, ensuring that the city can manage its healthcare costs more effectively in the long term.

While the transition may cause some disruption among employees, city leaders are confident that the financial benefits will outweigh the challenges. They plan to communicate the changes to employees, acknowledging that some may prefer to remain with their current provider despite the cost implications.

As Cooper City moves forward with this decision, the focus remains on balancing quality healthcare for employees with the city's budgetary constraints, setting a precedent for future financial planning in municipal health services.