One of the most significant issues our members face is health insurance cost escalation. Considering just a sub-set of our members will spend more than $360M on health insurance over the next five years, the Council feels this financial exposure cannot be ignored.
The Council has introduced Tech Health, a member-benefit program designed to utilize our considerable buying power as a group to jointly purchase lower cost health insurance aligned with better health management programs, such as WhiteGlove Health, Inc. A feasibility study is underway and we anticipate opening Tech Health in 2012.
Through a self insured captive, Tech Health will provide long-term stable cost-managed solutions for Council members and will be professionally managed by local experts, TD Insurance, which administers the Council’s highly successful workers’ comp group, and Boston-based Spring Consulting Group. Recent studies involving Massachusetts employers revealed savings of 4-9% of health insurance costs can be achieved with this type of program. With members working together as a group, even larger self-insured organizations will achieve savings, while gaining a wider choice of health plans and more sophisticated health management.