HELENA — A newly formed statewide trust is taking the next step forward to create a new model for how Montana school districts provide health insurance for their employees.
This week, State Auditor James Brown’s office certified Bridged Health Alliance’s trust had met state requirements – opening the door for it to access $40 million set aside by lawmakers in 2023. More than 200 school districts, with more than 16,000 insurance recipients, could soon be getting their health coverage through Bridged.
“We just couldn't be more proud of the effort on behalf of public education,” said Bridged chief strategy officer John Doran. “When schools come together of all sizes, it's amazing what we can achieve together.”
(Watch the video for more on what the new Bridged trust could mean for school districts.)
The trust is intended to bring districts together into a larger insurance pool. The goal is that they can then secure lower administrative costs for insurance services and balance risks so that insurance rates can be more predictable.
Helena Public Schools Superintendent Rex Weltz says rising health care costs – and the uncertainty of how much they’ll increase – have been major concerns both for the district and for its employees.
“It's one variable within any organization that’s kind of out of our control,” he said.
Weltz says that’s why district leaders have been intrigued with the possibility of a trust.
“Having control of how fast those increases hit us, in a predictable sense, is really what we've pushed on with Bridged and why it's attractive for us to join,” he said.
Of Montana’s eight large “AA” school districts, seven, including Helena, are set to join Bridged.
Doran says, even before they got Brown’s certification, Bridged has been working to get ready for providing benefits. He said their first open enrollment will begin in May, with their effective date starting July 1.
“We are ready to go,” he said.
Doran says the districts’ combined bargaining power will also allow them to secure some specific service improvements, like lower co-payments for mental health care.
“We know that mental wellness is a significant and important issue in Montana, and we want to do everything possible to make sure that cost is not a barrier for getting the health care you need,” he said.
Districts across the state will have different dates for transitioning into the new trust, because their current health insurance plans have different renewal dates. For Helena Public Schools, that date could be in October.
Weltz says HPS had several contingencies in their agreement that need to be finalized before they officially join Bridged. However, he’s optimistic about the benefits once they get in.
“I’m excited about the prospect,” he said.
Bridged will use Allegiance as its third-party administrator – and HPS is already using the company for the same role. Weltz says that will likely make the district’s transition almost seamless for employees.
