By Natalya Bucuy 21st Century Media News Service

The Bucks County Commissioners Dec. 4 approved a $34.4 million contract renewal with Independence Blue Cross to provide medical, prescription and vision coverage for the countys more than 2,300 employees next year.

According to Commissioners Chairman Robert Loughery, the contract includes a $2.3 million, or a 7.13 percent, increase from the 2013 premium. About $1.235 million of that increase is attributed to the Affordable Care Act, Loughery said. The ACA imposes additional taxes on the insurance company, which the company then passes through to its client the county, Loughery said.

According to county Chief Operating Officer Brian Hessenthaler, last years premium tax hike was significantly smaller, with only a 1 percent premium increase.

The annual premium increase, however, varies greatly each year, Loughery said. Depending on coverage and the number of employees covered, the hikes in the health care industry can vary from 1 to as high as 14 percent, he added.

The upcoming hike, while high, is not as bad as it could be, Loughery said.

The county is doing a great job with this as we reduced our workforce over the last two years and we are saving money after the dependent audit we conducted this year, Loughery said.

The county conducted an audit in April that weeded out the county employees ineligible for health care dependents. The measure took off 192 dependents from the county benefits coverage and projected more than $600,000 savings annually.

The county employees, both union and non-union, on average contribute about 1 percent to their health care costs, Loughery said.

In November, the county unveiled its 2014 preliminary budget that showed an average 5 percent increase for the countys annual expenditure per employee. In 2013, the average cost per employee was $80,000 including salary and benefits. In 2014, the number rises to $84,000. About $27,000 of that can be attributed to benefits costs, said Hessenthaler.

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Bucks County to pay higher health care premiums in 2014