Comptroller Kevin Lembo Archive > News
COMPTROLLER LEMBO ANNOUNCES 13-PERCENT SAVINGS WITH NEW PRELIMINARY CIGNA AGREEMENTANNUAL DENTAL COSTS TO DECREASE $11.7 MILLION
Comptroller Kevin Lembo today announced that the state has concluded its
competitive bidding
process and selected a new dental carrier - Cigna - to solely administer the
state employee and
retiree plan at drastically reduced annual costs over the previous dental
contract.
Following a recommendation by a review committee of management and labor
stakeholders, the
state plans to transfer all dental coverage to Cigna beginning July 1 for up to
five years -
providing a larger network than the state's existing contract, and with a
commitment to expand
the network further.
The new contract, which remains under final negotiations, is projected to reduce
the state's
dental coverage costs significantly, by 13 percent, due to the larger contracted
network and lower
administrative fees from the carrier. The preliminary Cigna contract has an
annual worth of
$78.9 million, based on current enrollment. This is $11.7 million less per year
when compared to the current contract.
Lembo said, " This new agreement - saving millions each year - recognizes that
greater care and
coverage results in better outcomes and costs. Cigna has not only offered the
state a more
affordable plan, but has committed to working with us to improve the oral health
of plan
participants, particularly those with medical conditions such as diabetes, heart
disease and
chronic kidney disease."
Lembo added, "The benefits of strong preventative oral health care -
particularly for high-risk
individuals - can significantly improve overall health. This preventative
approach to dental and
health care ultimately achieves long-term positive physical and financial
outcomes. I thank the
review committee for its diligence and thoughtful analysis of the various
competing proposals."
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