Self-Funded Health Insurance Plan

12 Months Ended

Dec. 31, 2012

Self-Funded Health Insurance Plan

Self-Funded Health Insurance Plan

NOTE 16 Self-Funded Health Insurance Plan

PSB has established an employee medical benefit plan to self-insure claims up to $55 per year for each individual with no stop-loss per year for participants in the aggregate. The self-insured stop-loss increases to $65 per year during 2013. PSB and its covered employees contribute to the fund to pay the claims and stop-loss premiums. Medical benefit plan costs are expensed as incurred. The liability recognized for claims incurred but not yet paid was $84 and $68 as of December 31, 2012 and 2011, respectively. Health and dental insurance expense recorded in 2012, 2011, and 2010, was $1,078, $852, and $941, respectively.