Health Care Program Premiums Determination Process

• Premiums vary by plan and number/family relationship of covered persons
• Are actuarially determined by use of historical and current claims information, population risk factors and expected medical inflation
• Are highest for the Standard Plan that provides the broadest choice of providers but without the value-based care received from an Accountable Care Organization (i.e., the 3 Advantage Plans)

Premium Increases for Each Coverage Tier by Plan:

• 9.5% increase applied to Advantage Plan - HealthPartners/Park Nicollet
• 9.5% increase applied to Advantage Plan – Fairview/North Memorial/MHealth
• 9.5% increase applied to Advantage Plan – Hennepin Healthcare/NorthPoint
• 10.6% increase applied to Standard Plan.

Approximately 23.2% of health enrolled employees are currently enrolled in the Standard plan.

Approximately 76.8% of health enrolled employees are currently enrolled in one of the three Advantage plans:

• 16.6% in Advantage Hennepin HealthCare/NorthPoint
• 33.7% in Advantage HealthPartners/Park Nicollet
• 26.5% in Fairview/North Memorial/MHealth