The Clark County Teachers Union said Monday it reached an agreement to address the financial problems of its nonprofit health insurance provider, THT Health.
Under the agreement, the Clark County School District will provide a three-month advance on its business contributions (about $ 35 million), in part, to address a backlog of complaints that has recently caused teachers to report withdrawal from their medical providers.
In return, the union is expected to provide additional transparency to the district regarding the financial statement and operation of the insurance provider.
John Vellardita, executive director of the Clark County Education Association, is evaluating the total amount of claims withholdings.
According to the press release, it is the result of an increase in medical claims that have exceeded incoming premium levels. The self-funded plan provides coverage to 35,000 teachers and their dependents, but has faced financial and legal challenges over the past five years.
Over the next 90 days, THT Health is expected to develop new health plans and acquire a new third-party administrator to process claims and provide utilization management. According to the union, a new CEO has already been hired after the departure of Michael Skolnik this month.
According to the district, THT Health will also have to provide the district with a wealth of financial and organizational documents, including the 2020 financial statements, minutes of the health board meeting for the past three years, compensation levels. of staff and “all known debts, assets, income, liabilities and exit notices of THT Health”.
A statement from the union says it welcomes the district’s ongoing reporting requests and “will provide all the information so the district can better understand the medical challenges THT has gone through, which has placed them in this current financial situation.”
“We are grateful for the work done by the CCSD Board of Trustees to find a solution that makes sense and gets THT back on track to provide health coverage,” Vellardita said.
“Our teachers deserve health coverage they can trust,” Clark County School Board President Linda Cavazos said in a statement. “We hope this agreement will provide educators with stability and peace of mind as they work daily to educate our students.”
Contact Aleksandra Appleton at 702-383-0218 or firstname.lastname@example.org. Follow @aleksappleton on Twitter.