Memorandum
Date: September 29, 2026
To: The Honorable Lake County Board of Supervisors
From: Susan Parker, County Administrative Officer
Pam Samac, Human Resources Director
Subject: Consideration of Update on Employee Health Benefits
Executive Summary:
Background
Health care costs continue to rise, and this remains a nationwide challenge driven by factors such as higher prescription drug prices, increased use of specialty care, and rising provider costs. The County of Lake contracts with the PRISM Health Insurance Program to provide health coverage for its employees and eligible dependents. PRISM is a joint powers authority that allows public agencies across California to purchase health coverage together as a group.
To ensure the County is receiving the best value, staff conducted a market review of available alternatives. No more competitive options were identified. The results were as follows:
Aetna: Declined to quote
Anthem: Declined; not competitive
Cigna: Declined; not competitive
Blue Shield: Declined; not competitive
UnitedHealthcare: Declined; not competitive
As a result, PRISM remains the most cost-effective option for the County. Because PRISM is a pooled program, risk is spread across many participating counties, which helps insulate the County from sharp cost increases that a single employer might face on its own. A single large claim or a difficult claims year has less impact on the County's rates than it would under a stand-alone plan, which also makes premiums more stable and predictable for budgeting.
2027 Open Enrollment (September 14 – October 9, 2026)
In preparation for the 2027 plan year, Human Resources has taken the following steps:
Returned to in-person open enrollment meetings so employees can ask questions directly and get help choosing the plan that best fits their needs
Increased awareness of lower-cost health care options, such as telehealth, urgent care instead of the emergency room for non-emergencies, and generic prescr...
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