Des Moines is returning to a self-insurance system for employee health plans, a move city officials hope will eventually save taxpayers $1 million or more each year.
The City Council approved the switch during its meeting Monday night.
City administrators said it would help control rising health insurance costs, which currently run about $26 million annually.
The Des Moines Register reported Tuesday that if projected savings arrive, the move to self-insurance could become a key part of broader efforts to curb operating costs. Des Moines faces major revenue declines due to lower property valuations. The Legislature also is considering a proposal to slash commercial property tax rates by 40 percent.
Complete article at Businessweek : http://buswk.co/iUyGaF