2026-2027 IIC Renewal Booklet by The Benecon Group

2026-2027

Program Information

A self-funded health benefits purchasing program for municipalities in Lancaster and York Counties

A Letter to Our Members

Meet the Team

IIC Board of Directors

Membership Report

Surplus Distribution

Highmark Loyalty Credits

Account Services

Open Enrollment Reminder

Benecon Clinical Services

Life & Disability Program

Administrative Services

2027 Health Benefits Seminar

It all started with four local government groups in 1991 Recognizing the effectiveness of group purchasing, Benecon pioneered self-funded consortium and cooperative programs. Today, we proudly manage fourteen programs across the country and maintain a membership retention rate of more than 98%. Through our comprehensive suite of services, Benecon provides unlimited access to expert support across Account Management, Actuarial, Compliance, Finance, and Producer Services. Complemented by the unparalleled Nurse Navigation and Diabetes Education services of Benecon Clinical Services, Benecon delivers an integrated approach to cost management, member support, and long-term program success, positioning us as a powerhouse in the self-insurance marketplace.

October 1, 2026 Dear IIC Members, Thank you for being a valued member of the Intergovernmental Insurance Cooperative (IIC). We strive to provide a cost-effective program with excellent service and stability to our members. Healthcare, like many other industries, continues to face rising costs and often serves as a lagging indicator of inflation. These increases are driven by factors such as provider contract escalations, worsening population morbidity, the growing utilization of GLP-1 medications, and the emergence of new gene and cell therapies. Despite all of this, our goal is to help you control risk while providing transparency and the tools to utilize cost containment strategies. On behalf of the IIC Board of Directors, thank you for your ongoing participation in the program. For 2027, the average preliminary renewal increase for the 66 members of IIC is 13–15 percent, compared with an average 15–19 percent increase in the fully insured market. When developing the rates for individual members, the actuarial staff considered:

• • • •

A projected medical trend estimate of 10 percent for 2027. Plan designs and demographics for each member group. Claims experience for 2025 and the first six months of 2026. Other relevant factors.

The IIC will continue to stabilize reinsurance costs for its members through the cooperative’s collective purchasing power. Your renewal is only one indicator of the total cost of your health insurance program. Beyond collective purchasing power, IIC members benefit from a suite of cost-control measures, including:

• Benecon’s Cost Containment Team to proactively review claims and utilization data and identify emerging risks, engage members early, and implement targeted solutions that improve care and reduce avoidable costs. • Pharmacy management to monitor specialty drug utilization, particularly GLP-1s and gene or cell therapies. • Expansion of telemedicine to increase access to affordable, convenient care. • Preventive care and wellness programs to reduce long-term risk through early detection and healthier lifestyles.

• Employee engagement tools to empower members with education and decision support to manage their care effectively. The Cost Containment team’s reports highlight trends such as chronic disease management, specialty drug use, and high-cost imaging, allowing us to identify opportunities and engage early. We encourage you to work with your account manager and our Cost Containment Team to evaluate targeted programs, reduce avoidable utilization, and direct members to more efficient care settings. For the 2025 plan year, 83 percent of IIC members received a surplus. If you are not already doing so, when evaluating your 2027 renewal we encourage you to net your surplus against your renewal increase. Many members who do so experience level funding or even decreases in their overall costs year-over-year. This reinforces the long-term financial stability and value of the IIC cooperative model. This renewal booklet and accompanying packet include information relating to your 2027 renewal, the IIC program, Benecon, your claim fund performance, and dental and vision rates. We encourage you to review this important information. We truly appreciate your participation in IIC. It is our privilege to work with you, and we look forward to serving you in 2027.

Sincerely,

Michelle Joy

Zachary Peirson

Vice President, Account Management

Vice President, Program Management

Brian Zimmerman Senior Account Manager

Cindy McKillips Associate Account Manager

Nicole Miller Program Management Administrator

Anne Walls Senior Enrollment Specialist, Account Services

Using the Power of Group Purchasing to Lower Your Health Benefits Costs Intergovernmental Insurance Cooperative (IIC) is a self-funded group purchasing program developed and administered by Benecon for municipalities in York and Lancaster County, Pennsylvania. Benecon is a nationally recognized leader in the industry, dedicated to providing its members with efficient and safe access to the self insurance market. Administered by Benecon • • • •

Full Transparency

30+ years of experience $4B+ administered funds 98% retention $800M+ stop loss premium equivalent

Know where every dollar is spent

Flexibility

Choose the plan design that works best for your employees

Surplus & Savings

Control

• Any surplus after year end reconciliation is returned to the member group

Be in the driver’s seat when choosing your benefits

• Over $100M in surplus returned to IIC member groups

Proven Actuarial Pricing Model Priced by Benecon’s independent actuaries

Administered by

Learn more at benecon.com Benecon | Title of Asset

2026-2027 IIC 7 Members - 2 Year Term (7/1/26-6/30/28)

Charter Members RYAN STROHECKER | CHAIRMAN Manor Township, Manager 950 West Fairway Drive | Lancaster, PA 17603 | Office: 717.397.4769 | manager@manortwp.org

CINDY SCHWEITZER | TREASURER East Hempfield Township, Manager 1700 Nissley Road | Landisville, PA 17538 | Office: 717.898.3100 ext 222 | manager@easthempfield.org

KAREN GERHART Ephrata Borough, Manager 124 South State Street | Ephrata, PA 17522 | Office: 717.738.9232 ext 130 | kgerhart@ephrataboro.org

TARA HITCHENS East Lampeter Township, Manager 2250 Old Philadelphia Pike | Lancaster, PA 17602 | Office: 717.393.1567 ext 3505 | thitchens@eltwp.org

Non-Charter Members KELLY KELCH | VICE CHAIRMAN West Manchester Township, Manager 380 East Berlin Road | York, PA 17408 | Office: 717.792.3505 | kkelch@wmtwp.com

TIM JAMES | SECRETARY Manchester Township, Manager 3200 Farmtrail Road | York, PA 17406 | Office: 717.764.4646 | t.james@mantwp.com

JENNIFER GUNNET Windsor Township, Manager 1480 Windsor Road | Red Lion, PA 17356 | Office: 717.244.3512 | jgunnet@windsortwp.com

IIC Municipal Members as of

Number of Employer Groups

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

2024

2025

8/1/2026

We would like to welcome our new 2026 group! Groups Penn Township - York

Employee Count

Effective Date

1/1/2026

MEMBERSHIP Member

Employee Count

Member

Employee Count

Akron (Borough of )

Millersville Borough

Carroll Township

Mt. Joy Township

Clay Township

Municipal Emergency Services Authority of Lancaster Cty

Columbia Borough

New Freedom Borough

Dallastown Borough

Newberry Township

Dillsburg Area Authority

Northern Lancaster County Regional Police

16 32 37

Dover Township

Northwest Regional Lancaster Cty Police Commission

East Cocalico Township

NYCRPD (Northern York County Regional Police Dept)

East Cocalico Township Authority

Penn Township - Lancaster

East Donegal Township

Penn Township - York

East Hempfield Township

Pequea Township

East Lampeter Township

Quarryville Borough

East Manchester Township

Red Lion Borough (dental and vision only)

Elizabeth Area Water Authority

Red Lion Municipal Authority

Elizabeth Township

Red Rose Transit Authority

Elizabethtown Borough

Salisbury Township

Ephrata Borough

South Central Transit Authority

Ephrata Township

Southern Regional Police Department

Fairview Township

Spring Garden Township

Hanover Area Fire and Rescure

Spring Grove (Borough of )

Hanover, Borough of

125

Springettsbury Township

Jackson Township

Susquehanna Regional Police Department

Lancaster Airport Authority

Warwick Township & Authority

(LASA) Lancaster Area Sewer Authority

West Donegal Township

Lancaster County Conservation District

West Earl Township

Lancaster County Solid Waste Management

West Lampeter Township

Lancaster Township

West Manchester Township

Lititz Borough

West Manheim Township

Manchester Township

Windsor Township

Manheim Area Water & Sewer Authority

YAUFR (York Area United Fire Rescue)

Manheim Borough

York County Regional Police Department

Manheim Township

208

York Housing Authority

Manor Township

York Township

8 74 7 7 10 13 60 4 48 14 8 2 60 20 23 5 32 33 59 33 17 59 87 46 45

For the 2025 plan year, we returned nearly $8.2 million dollars in surplus claim funds to nearly 83% of the IIC members. Most IIC members received a 100% distribution of their 2025 surplus in July 2026.

As a reminder, the IIC Wellness Grant Program transitioned to Loyalty Credits in 2024. We are pleased to offer Loyalty Credits again for the 2026 plan year as a thank-you for your continued loyalty to the IIC program. We would like to recognize Highmark for generously funding IIC’s Loyalty Credits. Under IIC’s new contract with Highmark, funding for the 2026 program increased significantly, bringing the total amount available for distribution to $500,000. The IIC Board of Directors approved distributing these funds in two ways: • A Loyalty Credit of $50 per employee per year (PEPY), issued by check. Checks were mailed to active IIC members in February 2026. • An additional Loyalty Credit of $166.45 PEPY, applied directly to members’ March 2026 invoices. Both credits were calculated using each member’s number of enrolled employees as of February 1, 2026. Loyalty Credits are a valuable benefit of IIC membership and are not typically available through a traditional fully insured plan. When evaluating your total health insurance costs, we encourage you to include these credits as part of the overall value of your participation in IIC. As always, thank you for your continued participation and for being a valued member of IIC.

What can the Account Services team do for YOU? +

Enrollments, Changes and Terminations IIC members process all enrollments, changes and terminations to their Highmark medical, United Concordia dental and Davis or NVA vision plans through the SIMON platform. Additionally, with prior approval, some IIC members process these enrollment changes through another electronic enrollment platform.

ID Card Requests Need a new ID card for an employee? Requests for medical plan ID cards can be made through Highmark’s online portal. For dental and vision plans, please send Account Services an email to request a new ID card. Most insurance carriers take 7-10 business days to generate and mail a new card. Remember to include the employee’s address in your request.

Enrollment Related Questions Any other enrollment related questions, we have you covered! accountservices@benecon.com | P: 888.400.4647 | F: 888.977.2173

Box.com Invoice Delivery IIC invoices are delivered securely each month using Box.com. Upon receipt of your monthly notification email, you are able to log in to Box.com to retrieve your most recent invoice as well as review invoices from previous months. To avoid mispayments, please make sure you are accessing the newest invoice each month by following these steps: • Log in to Box.com and click on “All Files” • Click the arrow next to recent files to hide this section. The recent files section shows the last files you opened, not the most recent files uploaded. • Click the “Billing” folder • Click the most recent month’s folder “yyyy-mm” Helpful tips: Including the following information in the memo section of your check helps to ensure payments are applied correctly. • The month of the invoice you are paying • Your Client Manager Key (this is the 3-digit or 4-digit number located under your Group’s Name in the upper left corner of the Medical Billing Invoice)

Open Enrollment changes for medical, dental and vision must be entered into the Simon platform prior to 11/20/2026 for an effective date of 1/1/2027. IMPORTANT NOTE: Additional enrollment changes can be made in Simon through December 23rd for an effective date of 1/1/2027, but ID cards will not be received prior to 1/1/2027. No Open Enrollment changes can be submitted after the first of the year.

Anne Walls Senior Enrollment Specialist

Erin Willman Enrollment Specialist

HEALTHCARE CAN FEEL OVERWHELMING AND EXPENSIVE. You don’t have to figure it out alone.

Cost Containment Decisions employers make can have a lasting impact. We guide high-cost, high-complexity care by: Reducing cost barriers through data analytics. Optimizing prescription costs and improving affordability. Solutions vetted for stop-loss compatability, ERISA compliance, and funding integration.

HOW WE MAKE AN IMPACT We help navigate complex care, uncover high-value options, and remove barriers, so you can make confident decisions and avoid unnecessary costs.

Clinical Services (No out-of-pocket cost to the member)

Our nurse navigation and diabetes education delivers personalized clinical guidance to help members make informed healthcare decisions and avoid unnecessary expenses.

The result is better outcomes for members and more predictable healthcare spend for employers.

Wellness Incentive Platform

For more information, please contact Benecon’s Cost Containment Team.

Our wellness incentive platform simplifies tracking, enhances engagement, and delivers evidence-based education in one seamless solution.

BCC@Benecon.com

The IIC Board endorsed Benecon to offer a Life & Disability program for all Members. IIC believes there is power and efficiency in group purchasing and encourages all Members to participate.

Program Specifics • • • •

Provide a significant rate reduction on current Life/STD/LTD Coverage Match each group‘s current plan designs & level of benefits Provide a multi-year rate guarantee Place all Members with one carrier

Information Needed to Provide a Proposal • Current employee census (Name, DOB, DOH, Occupation, Salary) • Copy of current plan designs (Summary Page of Benefit Booklet) • Copy of most recent invoice

Insurance Provider: OneAmerica

• “A“ financial rating from all rating agencies • 141+ years experience • $83 billion in assets

Experience: Benecon Benecon has successfully aggregated the Members of many other Cooperatives to create a significant purchasing power for Life & Disability coverage. Since the inception of the Program, there has never been a rate increase, and one decrease!

To date 54+ IIC Members have taken advantage of this program, generating significant savings! For more information please contact:

Stephen Gingrich

sgingrich@benecon.com 717.951.5636 18

Dental & Vision Coverage Through IIC

Did you know that IIC offers dental and vision coverage?

With plans from United Concordia, Davis Vision and National Vision Administrators, we are sure to have a plan that works for you.

For more information, please contact your Benecon Account Manager.

Gain access to a full suite of value-added services. Health Savings Account (HSA)

Retiree Billing

An HSA is an employee owned, tax-advantaged savings account used in conjunction with a High Deductible Health Plan (HDHP).

Semi-annual billing services for eligible retirees.

Health Reimbursement Arrangement (HRA)

Consolidated Omnibus Reconciliation Act (COBRA)

An HRA is an employer funded arrangement that may be used to reimburse employees for qualified medical expenses set by the employer.

COBRA gives employees who lose their benefits the right to choose to continue group health benefits provided by their employer for limited periods of time if the employee experiences a qualifying event.

Flexible Spending Account (FSA)

PA Mini COBRA

An FSA is an employer offered, tax-advantaged account funded by the employee to pay for qualified medical expenses with pre-taxed dollars.

PA Mini COBRA gives employees at smaller businesses (2-19 employees) the right to purchase health insurance continuation after they leave employment for a qualifying event.

Lifestyle Spending Account (LSA)

Individual Coverage HRA (ICHRA)

An LSA is an employer sponsored account that allows employees to use funds for personal expenses.

An ICHRA is an employer funded, tax-advantaged arrangement that allows employers of any size to reimburse employees for some or all of the premiums they pay for individual health insurance plans.

Dependent Care Assistance Plan (DCAP) A DCAP is an employer offered, tax-advantaged plan funded by the employee to pay for care for eligible dependents, such as children or disabled family members.

Tuition Reimbursement Programs Employer funded, tax-advantaged plan that can pay an employee up to $5,250 in educational assistance benefits each year.

Commuter Benefits Employer established, tax-advantaged account funded by the employee &/or the employer to pay for qualified mass transit & parking expenses on a monthly basis.

Qualified Small Employer HRA (QSEHRA) An QSEHRA is an employer funded, taxadvantaged arrangement in which employers with under 50 Full Time Employees can reimburse their employees for their health insurance premiums that they purchase on their own.

Excepted Benefit HRA (EBHRA) An EBHRA is an employer funded, taxadvantaged arrangement, under which employers provide funds towards the cost of vision, dental or short term limited duration insurance premiums that they purchase on their own.

In addition to our CDH & COBRA offerings, Benecon’s Administrative Services Team provides best-in-class customer service & access to industry-leading mobile & web-based services.

Administrative Portals/CDH Mobile App • 24/7 Access to Employer & Participant Portals • Enhanced Reporting Capabilities • Enrollment & Eligibility Management • Account Funding & Contribution Management • Simplified Account Management with our Mobile App (iOS/Android)

Plan Management & Consumer Engagement • Personalized Customer Service • Representatives Available During Working Hours to Assist Our Partners & Their Clients • Personalized CDH Open Enrollment Presentations & Marketing Materials • Plan Setup & Renewals with No Extra Charges (*excluding Mini-COBRA) • No Minimum Requirements on Employee Plan Participation • Compliance Webinars & Instructional Videos

FSA / HSA Store • Special Deals on Eligible FSA & HSA Products • Industry Leading Web Browsers for FSA/HSA Eligible Items • Customized Communications for Participants • Purchased Products Require Zero Substantiation if Paired with a Benecon FSA/HSA Debit Card

2027

NOTES

info@benecon.com 888.400.4647