HomeMy WebLinkAboutDocumentation_Regular_Tab 11_08/13/2009-RY
"~~ ~``'~' VILLAGE OF TEQUESTA
~~n~ AGENDA ITEM TRANSMITT~t,. FORM ,,_.~~-
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1. VILLAGE COUNCIL MEETING:
Meeting Date:
8/13/09 Meeting Type: Regular Ordinagce,#: - ~ ~-e~ ~(~=~Eter text
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Consent Agenda: Yes Resolution #: tµ:.i~ck here tc, ,~r+er text.
Originating Department: Human Resources
2. AGENDA ITEM TITLE: (Wording form the SUBJECT line of your staff report)
Approval of Health insurance renewal with Cigna Insurance and Dental renewal with MetLife Insurance
3. BUDGET /FINANCIAL IMPACT:
Account #: Various Amount of this item: Per schedules $777,123.20
Current Budgeted Amount Available: Amount Remaining after item:
~ili~l4: P`~E=r tt:. t:~l~f:~r t~:*~..
Budget Transfer Required: ~hcc~~e ar Appropriate Fund Balance: ~.r~~~~e ~r~ item.
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4. EXECUTIVE SUMMARY OF MAJOR ISSUES: (This is a snap shot description of the agenda item)
Request for renewal of a one-year contract for health insurance with Cigna Health and
MetLife Dental for FY2009/2010, and authorizing the village manager to execute the
contracts on behalf of the village. The costs will be allocated across the various
departments.
5. APPROVALS:
Dept. Head: Finance Directo~_ proved
o Financial Impact
Attorney: (for legal sufficiency)
Village Manager: ~-
• SUBMIT FOR COUNCIL DISCUSSION: ^'
• APPROVE ITEM:
• DENY ITEM: ^
Form amended 08/26/08
Yes ^ No ^
Routing Sheet Process
1. Send ALL completed forms to
Finance for review ONE WEEK prior
to agenda items due into Clerk's
Office.
2. Finance sends Routing Sheet to
Clerk by deadline.
3. Clerk formulates agenda and sends
to Manager for review /approval.
Memo
To: Michael R Couzzo, Jr., Village Manager
From: Merlene Reid, HR Director
Date: July 30, 2009
Re: Health and Dental Insurance 2009/10
The Committee appointed to review health and dental insurance for 2009/10, were given a
goal to incur no increases in the overall costs for medical and dental over the previous year.
After 3 meetings with our Brokers, The Gehring Group, the Committee made the following
recommendations in respect of medical and dental plans for FY2009/10, the details of which
are attached:
Medical: Renew with Cigna moving from a local network (Open Access POS), to a
national network (Open Access Plus with Cigna Care PPO) for an overall
annual savings to the Village and the active employees of $29,823.26
(-3.2%).
Dental: Renew the existing PPO plan with MetLife for a total increase to the Village
and the employees of $3,646.08 (7.6%).
Overall medical and dental savings for the Village's and the employees' contribution for
FY2009/10 will be $24,511.84. The projected costs are based on the present number of
employees and their current choice of plans (family, individual, etc.), which may change
based on employees movements or qualified plan changes. Please note that the attached
data has been updated since my July 23, 2009 memo to you, to reflect active employees
only (i.e. retirees and COBRA participants who pay 100% of their premium, have been
removed).
The 3 unions, the PBA, IAFF and the CWA have all indicated their strong satisfaction with,
and support for the proposed plans. Having exceeded the set goal, the Human Resources
department is therefore recommending the approval of the selected plans.
Village of Tequesta
Dental Renewal Evaluation
Effective Date: October 1, 2009
GEI ~ I~IIVTG,~GR(JLJP
CURRENT RENEWAL
SCHEDULE OF BENEFITS MetLife MetLife
Dental PPO Plan
_.. .,., Dental PPO Plan
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i,
Calendar Year Maximum $1,500 $1,500
Deductibles
Single $25 $50 $25 $50
Family Maximum $75 $150 $75 $150
Deductible Waived for
Preventative Svcs Yes No Yes No
'>>~
Preventative 100% 100% 100% 100%
Basic 100% 80% 100% 80%
Major 60% 50% 60% 50%
Orthodontia 50% 50% 50% 50%
Service Information
Out of Network Benefits
Payable Level 90% UCR 90%UCR
New Hires Only New Hires Only
Benefits Waiting Period 12 months Ortho 12 months Ortho
Orthodontia Lifetime Maximum $1,000 $1,000
Endodontics/Periodontics
Payable Level Basic Basic
Rate Guarantee Expires 10/1/2009 12 months
Employee 48 $0.00 $28.09 $0.00 $30.22
Employee + Family 35 $47.74 $28.09 $51.37 $30.22
Monthly Premium $1,670.90 $2,331.47 $1,797.95 $2,508.26
Annual Premium $20,050.80 $27,977.64 $21,575.40 $30,099.12
$ Increase
% Increase N/A
N/A $1,524.60 $2,121.48
7.6% 7.6%
Village of Tequesta
Medical Insurance Renewal Evaluation (NEGOTIATED)
Effective Date: October 1, 2009
CURRENT
C~LIIRINC~GRCJL~P
RECOMMENDATION
SCHEDULE OF BENEFITS
Lifetime Maximum
Out of Pocket CYM
Single
Family
Calendar Year Deductible (CYD)
Single
Family
Primary Care Physician
Specialist
Pre-Natal
Physical Exam Benefit
Chiropractic Services
Laboratory Services
Inpatient Hospital
Outpatient Hospital
Emergency Room
Physician Services
Inpatient Hospital
Outpatient Services
Inpatient Hospital
$4,500
$6,000
$500
$1,500
40`Yo
.: r.
40%
40%
409'0
40%; $250 CYM
4090; 20 visits CYM
409'0; No Ded
409'0; 20 visits CYM
40%
4090
40%
40%
409'0
40%; 20 visits CYM
Not Covered
Not Covered
Not Covered
Not Covered
$50 per day
Generic $15 $10
Preferred Brand $30 Not Covered $35
Non Preferred Brand $50 $50
Mail Order Copay 2x 2.Sx
Employee 43 $0.00 $487.81 $0:00 $472.31
Employee + Spouse 8 $139.07 $904.89 $134.61 $876.15
Employee+Child(ren) 7 $103.70 $798.78 $100.37 $773.41
Family 25 $243.98 $1,219.53 $236.16 $1,180.79
Monthly Premium $7,937.96 $64,294.66 $7,683.45 $62,252.01
Annual Premium $95,255.52 $771,535.92 $92,201.39 $747,024.08
$ Increase N/A -$3,054.13 -$24,511.84
% Increase N/A -3.2% -3.2%
CIGNA Healthcare
Network Open Access POS
fA ~ -. 9~ ~
$5 million
G:\Gehring Group~clients\Tequesta, Village oflEmployee Benefits\2009 Files\072209 - Tequest Medical Renewal Evaluation 2009-2010 (UPDATED).xlsx