Mansfield: Concerns Over Rising Health Insurance Costs

Mansfield officials are grappling with the implications of escalating health insurance expenses for county employees. Commissioner Tony Bello highlighted that even counties in solid financial standing find these surges challenging to manage.

Bello remarked, “A 70% increase in health insurance costs over five years is simply not feasible, regardless of the financial status of the employer.”

These observations followed a recent meeting with Cindy Herring, a human services expert, who provided insights into the county’s insurance situation from April 2025 to May 2026.

Richland County became part of the Ohio County Employee Benefits Consortium (CEBCO) in 2017, and its current contract, starting in 2026, will last until 2028.

CEBCO operates as a member-owned, not-for-profit entity that manages self-insured health plans. It has been around since 2004, established by the Ohio County Commission.

During the meeting, Herring shared that the county’s “overall loss ratio” showed a concerning figure: 120.3 percent, meaning paid claims greatly exceeded the premiums collected.

“The paid claims are almost $14 million, while the premiums amount to $11 million,” she noted. “This significant discrepancy results in a loss ratio of 120 percent.”

Medical claims have surged by 37% in the last quarter, totaling $10.4 million, while prescription drug expenses saw an 8.8% increase, reaching $3.1 million.

CEBCO also identified 13 “high claimants” within the county during this timeframe, four of which involved cancer treatments.

Bello described the price hikes as “staggering,” expressing his surprise at the rapid increases. He emphasized the need to understand the implications of potentially reaching $6.6 million in insurance costs by the end of 2027—representing a 70% rise from what taxpayers contributed in 2022.

The consortium plans to conduct its annual group review at the end of July, after which it will meet with individual counties to discuss any actual increases in costs.

Richland County has 284 employees enrolled in health insurance through CEBCO, and when including family members, that number grows to 586.

It’s worth noting that this figure excludes those employed with other agencies, like the Richland Public Health Department.

CEBCO currently provides service to 48 of Ohio’s 88 counties, promoting collective purchasing and robust health programs.

Herring mentioned that CEBCO is actively seeking proposals from insurance companies, highlighting how they went through this process last year, resulting in Anthem winning the contract.

Bello pointed out that the county still lacks complete information to make a decision on whether to extend its contract with CEBCO past 2028.

“The trends in our claims directly impact rising health insurance expenses. We need a better grasp on these factors before evaluating all available options,” he explained.

He added that while they could remain with CEBCO, a move to fully self-insure is also on the table, but more clarity is needed.

Bello also mentioned they would monitor trends in the private sector for potential insights into insurance costs.

“Health care expenses are climbing across various sectors,” Bello stated. “Is a 70% increase typical, or is our situation markedly worse compared to other employers?”

Earlier in April, a state audit prompted Madison Regional Schools to reassess its health insurance expenses, recommending more affordable plans for staff.

Bello acknowledged that negotiating benefit changes with the union representing county employees would be a complex process, governed by collective bargaining agreements.

“It’s a challenge. Premium caps and the plan specifics are part of negotiations. We’ll consult with human resources to discuss this further,” he said.

He noted that although CEBCO has been “a really good partner,” it’s important to evaluate all options in light of possible substantial increases in costs.

“This doesn’t reflect dissatisfaction with CEBCO. We want to clarify that.”

(Below is a PDF of the 2026 CEBCO first quarter report provided to the Richland County Commission on Thursday.)