HomeMy WebLinkAboutDocumentation_Regular_Tab 18c_09/13/2007VILLAGE OF TEQUESTA
MEETING AGENDA ROUTING SHEET
MEETING DATE: September 13, 2007
REQUESTED ACTION/SUMMARY: Approval for the renewal of dental insurance with
Guardian Insurance.
RESOLUTION OR ORDINANCE NUMBER: Res # 82-06/07 Ord #
ORIGINATING DEPARTMENT: Human Resources
FUNDING SOURCE: 2007/2008 BUDGET
ACCOUNT NUMBER: Various
CURRENT BUDGETED AMOUNT AVAILABLE: $31,788
General Fund #001
Water Utilities #401
Storm water #403
AMOUNT OF THIS ITEM: $31,788
AMOUNT REMAINING AFTER THIS ITEM: $382
BUDGET TRANSFER REQUIRED: _Yes _ No
APPROPRIATE FUND BALANCE: Yes No
Piggyback Contract Name and #:
Or
Competitive Bid #
APPROVALS:
DEPARTMENT HEAD:
FINANCE DIRECTOR:
VILLAGE MANAGER: ~7~1'
VILLAGE MANAGER RECOMMENDATION:
APPROVE ITEM: ^
DENY ITEM: ^
VILLAGE ATTORNEY: APPROVED FOR LEGAL SUFFICIENCY
^ Yes ^ No
^ Not Applicable (n/a)
Memo
To: Michael R Couzzo, Jr., Village Mana er
From: Merlene Reid, HR Manager ~
Date: July 25, 2007
Re: Dental Insurance Renewals
I spoke with Wendy at our Brokers to determine the quality of service offered by
Assurant and Met Life and the feedback was favorable for both. Nevertheless, my
recommendation is that we stay with Guardian for another year for the following
reasons:
1. We would have changed 3 providers in 3 years which is disruptive for the
staff and not good for our image among the providers,
2. Low quotes are common to get new accounts, after which the rates tend to
move to match the market in the renewal year,
3. Guardian has done a good job and I have had only 1 complaint for the year,
unlike the previous carrier where the complaints were many,
4. The difference in premiums is too low to justify a movement (see attached
calculations).
We also need to bear in mind that the employees pay for 100% of dependent dental
coverage, which translates to a $2.54 bi-weekly increase for them.
The 2007/08 premium will increase by 9.456%, a total of $31,405.80 with a projected
employee count of 85.
RESOLUTION NO. 82-06/07
A RESOLUTION OF THE VILLAGE COUNCIL OF THE VILLAGE OF
TEQUESTA, PALM BEACH COUNTY, FLORIDA, TO RENEW AONE-
YEAR CONTRACT FOR DENTAL INSURANCE WITH GUARDIAN, IN
THE APPROXIMATE AMOUNT OF $31,406.00 FOR FY 2007/2008
WITH BUDGET ALLOCATION FROM GENERAL FUNDS, WATER
UTILITIES AND STORMWATER FUNDS, AND AUTHORIZING THE
VILLAGE MANAGER TO EXECUTE THE CONTRACT ON BEHALF OF
THE VILLAGE
WHEREAS, the Village has been with Guardian Insurance for the 2006/07 Fiscal
year and have experienced satisfactory levels of service; and
WHEREAS, the Village has reviewed the major carriers in the market and have
not found a significant difference in the offerings and costs as outlined in "Exhibit "A"
NOW, THEREFORE, BE IT ORDAINED BY THE VILLAGE COUNCIL OF THE
VILLAGE OF TEQUESTA, PALM BEACH COUNTY, FLORIDA, AS FOLLOWS:
Section 1 Consideration is given to Resolution No. 82-06/07 to renew dental
insurance coverage services with Guardian for FY 2007/08 and the Village Manager of
the Village of Tequesta be authorized to execute renewal on behalf of the Village.
Section 2 This Resolution shall become effective immediately upon passage.
The foregoing Resolution was offered by
moved its adoption. The motion was seconded by _
and upon being put to a vote, the vote was as follows:
who
For Adoption Against Adoption
Mayor Jim Humpage
Vice-Mayor Pat Watkins
Council Member Dan Amero
Council Member Tom Paterno
Council Member Calvin Turnquest
The Mayor thereupon declared the Resolution duly passed and adopted this
day of , 2007.
1
MAYOR OF TEQUESTA
Jim Humpage
ATTEST:
Lori McWilliams, CMC
Village Clerk
EXHIBIT A
VILLAGE OF TEQUESTA
DENTAL
COMPANY GUARDIAN GUARDIAN ASSURANT METLIFE CIGNA
Benefits In Network Out of Network In
Network Out of
Network In Network Out of
Network In
Network Out of
Network In Network Out of
Network
Yearly Maximum $1,500 $1,500 $2,000 $1,500 $1,500 $1,500
Deductible (individual/family) none $50/$150 $25/$75 $75/$225 $25/$75 $25/$75 none $50/$150 $50/$150 $50/$ I50
Preventive 100% 100% 100%* 100% 100%* 100%* 100% 100%* 100%* 100%*
Basic 100% 80% 100% 80% 100% 80% 100% 80% 100% 80%
Major 60% 50% 60% 50% 60% 50% 60% 50% 60% 50%
Orthodontics - up to age 19 50% 50% 50% 50% 50% 50% 50% 50% 50% 50%
Lifetime Orthodontic Maximum $1,000 $1,000 $1,000 $1,000 $1,000
MONTHLY RATES EMPLOYEE
COUNT CURRENT RENEWAL REVISED
RENEWAL ALTERNATE PROPOSED PROPOSED PROPOSED
Employee
Employee + Dependents 45
34 $28.13
$81.91 $32.07
$93.38 $30.79
$89.64 $30.01
$87.39 $28.04
$82.18 $29.45
$87.13 $34.99
$107.32
Monthly Total
Annual Total $4,050.79
$48,609.48 $4,618.07
$55,416.84 $4,433.35
$53,200.17 $4,321.65
$51,859.81 $4,055.92
$48,671.04 $4,287.67
$51,452.04 $5,223.43
$62,681.16
*Deductible does not apply
Wells Fargo Insurance Services Con[dential. O 2007 Wells Fargo Insurance Services. All rights reserved
Renewing with Guardian based on employee count of 85 =Village Contribution of $31,405.80
This summary is not intended to be a complete explanation of benefits of the proposed insurance policies. Actual premiums and benefits will be determined by the final enrollment and are subject to underwriting
approval.