Valparaiso feeling pinched by rising health costs - 13 WTHR Indianapolis

Valparaiso feeling pinched by rising health costs

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VALPARAISO -

A spike in employee health care costs is putting the squeeze on Valparaiso's finances and prompting officials to look at ways to cut spending.

Clerk-Treasurer Sharon Swihart says the city has exceeded its budgeted amount for health care costs for the first time in her 30 years in office. The city has had to shift money from its Rainy Day Fund to help cover expenses.

The Times in Munster reports several employees have exceeded $100,000 in claims this year.

The city covers the first $100,000 for individual claims and the rest is covered by an insurance carrier. The carrier also pays any expenses that exceed a total of $4 million for the year.

City leaders are considering changes in the insurance plan starting Jan. 1 to help curtail costs.

(Copyright 2012 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

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