Bowling Green Passes Law to Help Control Health Insurance Costs
This is a unique and interesting approach to controlling health insurance benefit costs. While we are uncertain as to the legality of such a move, the city of Bowling Green passed an ordinance that makes spouses of employees ineligible for group health insurance if they have the option of other employer-provided coverage. The reason it is unique is that most employers who sponsor group health insurance do not coincidently have the authority to issue law that governs that insurance.
We see no immediate and insurmountable contradiction with state or federal law, so maybe it will work! This provision could cause headache if any of the employees use a health savings account, since deductibles are set "per policy" and not "per individual".
Spouses of city employees who can get their health care through their own employers should do so. This should save the city and taxpayers money in the future and was a good decision by the Bowling Green City Commission.
The ordinance, passed by a 3-2 vote Tuesday, requires that spouses of city employees who have the option of health insurance at their jobs take that and leave the city’s health plan.
Their transition would be eased by a one-time payment of $2,100, spread over a year.