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The City Council voted 5-2 to keep Kaiser Permanente as its insurance carrier for another two years, despite objections from Longmont United Hospital and heated opposition from Mayor Bryan Baum.

Kaiser’s $8.1 million proposal was $642,000 below the bid of competitor Cigna and included a guarantee of no premium increase in 2012, with a 7 percent cap in 2013.

Baum, however, said going with Kaiser as a sole provider would be “penny-wise and pound-foolish,” especially as Longmont United is not part of Kaiser’s physician network.

“We’re looking at the immediate cost rather than the economic impact and effect we’re having on our community,” Baum said during Tuesday’s meeting.

Read the rest of this report at .

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