Untitled - Town of Windham

EXPENDABLE HEALTH TRUST FUNDMONTH INCOME PREMIUMS CLAIMS ADMIN FEE INTEREST BALANCE331,909.26January 36,460.63 0.00 10,479.08 0.00 44.71 357,935.52February 41,503.30 0.00 14,679.85 1,239.75 42.99 383,562.21March 35,007.65 0.00 42,028.12 1,058.25 45.73 377,529.22April 37,070.55 0.00 12,004.87 0.00 45.98 402,640.88May 44,141.28 0.00 42,284.86 0.00 46.53 404,543.83June 35,754.83 0.00 13,860.95 1,041.75 45.84 425,441.80July 42,465.91 0.00 17,918.23 0.00 47.70 450,037.18August 32,761.71 0.00 15,245.26 0.00 48.34 467,601.97September 34,187.58 0.00 8,294.83 0.00 47.86 493,542.58October 42,349.03 0.00 12,295.77 0.00 50.28 523,646.12November 32,966.52 122,510.46 9,896.53 0.00 46.44 424,252.09December 34,000.09 163,433.11 13,632.27 0.00 37.08 281,223.88TOTALS 448,669.08 285,943.57 210,620.62 3,339.75 549.48 281,223.88The Expendable Health Trust fund is used primarily to pay the “out of pocket” claims and administrativefees associated with the Town’s program of self-insuring the deductibles on behalf of its employees, aswell as a portion of the monthly health premium for employees. Claims are processed by a Third PartyAdministrator through a Health Reimbursement Account. The income deposited into this fund consistsof the employees’ co-pay amounts from weekly payroll deductions, which funds both the out of pocketclaims and a portion of the monthly premiums.The balance of the monthly premium cost of the health insurance program is funded through the Town’sgeneral operating budget. Administratively, the Town processes monthly premium invoices initiallyfrom the operating budget, and then the remainder of the year, the premiums are paid directly from theTrust. The total cost of the Town’s health insurance premiums were funded as follows:Funded from Town operating budget $1,266,200.00Funded from trust (employee co-pays) $285,943.57Total $1,552,143.57As part of the premium costs funded by the Trust, a portion represents payments made on behalf ofretirees who qualify for the Town’s post-employment benefits program based on years of service. For2012, payments for retiree insurance premiums which were funded from the trust totaled $36,670.98.Also during 2012, the Town received a Premium Holiday from its health insurance provider,representing return of past contributions totaling $57,271.78. The Town portion of $47,097.25 wasrecorded as a credit against monthly premiums and the remaining $10,174.53 was returned to employees,based on their proportionate share of premiums paid.2012 ANNUAL REPORTS 65 TOWN OF WINDHAM, NH