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Home My WebLink AboutDocumentation_Regular_Tab 15_08/10/2017 Village of Tequesta Memo To: Michael R Couzzo, Jr., Village Manager From: Merlene Reid, HR Director Atil Date: July 28, 2017 Re: Health and Dental Insurance 2017/18 Florida Blue released the Village's renewal numbers in mid July 2017 with proposed increases of 6.9%to retain current benefits for the Traditional plan and 8.1%for the High Deductible Health plan. Subsequent negotiations retumed an overall increase of 5%for the Traditional plan and 6.2%for the HDHP, or a total annual cost increase of$61,440.24.These numbers include three retirees and two Council members who are responsible for paying their full premiums. With respect to Florida Blue's BlueOptions plan renewals, the average trend increase is 10%across their book of business.To retain current benefits, MetLife increased their premiums by 3%. With respect to the medical and dental renewals, the 2017 suspension of the Health Insurance Industry Fee, which was passed via last year's Federal Budget Reconciliation, was not extended for fees payable in 2018.This fee is assessed on fully-insured group medical plans, as well as stand-alone dental and vision plans (stand-alone meaning not offered in conjunction with another affected plan through the same insurer). The fee is estimated at 3-4%of premium, and therefore both Florida Blue and Metlife appear to have considered this increased cost in respect of plans renewing in 2017. The attached cost evaluation is based on the number of employees at July 1, 2017 and their current choice of plans(family/individual). At its meeting on July 27, 2017, the Benefits committee recommended to the Village Manager that the final numbers be accepted. HR is therefore requesting that the following recommendations be approved: 1. The health insurance be renewed with Florida Blue, and 2. The dental insurance be renewed with MetLife. Village of Tequesta TgA y 1 1 1 oNa GEHRING A GROUP Medical Insurance Renewal Evaluation Effective Date: October 1, 2017 INSURANCE BROKERS, L CONSULTANTS CURRENT INITIAL RENEWAL NEGOTIATED RENEWAL SCHEDULE OF BENEFITS Florida Blue Florida Blue Florida Blue BlueOptions 03768 BlueOptions 03768 BlueOptions 03768 Plan Basics In Network Out of Network In Network Out of Network In Network Out of Network Lifetime Maximum Unlimited Unlimited Unlimited 1 Unlimited Unlimited Unlimited Plan Year Deductible(PYD) Single $250 $1,000 $250 $1,000 $250 $1,000 Family $750 $3,000 $750 $3,000 $750 $3,000 Out of Pocket Maximum Includes all costs Includes all costs Includes all costs Single $3,000 $6,000 $3,000 $6,000 $3,000 I $6,000 Family $6,000 1 $12,000 $6,000 $12,000 $6,000 $12,000 Coinsurance 0% 50% 0% 50% 0% I 50% Physician Services Primary Care Physician $20 I 50%after PYD $20 50%after PYD $20 50%after PYD Specialist $45 50%after PYD $45 50%after PYD $45 50%after PYD Other(Chiropractic,Prenatal) $45 50%after PYD $45 50%after PYD $45 50%after PYD Preventive Benefits No Charge 50% No Charge 50% No Charge 50% Laboratory Svcs.(Indep.Diag.Testing Ctr.) No Charge • 50%after PYD No Charge 50%after PYD No Charge 50%after PYD X-Rays $50 50%after PYD $50 50%after PYD $50 50%after PYD Physical Therapy $45 50%after PYD $45 50%after PYD $45 50%after PYD Urgent Care Facility $50 $50 copay+PYD $50 $50 copay+PYD $50 $50 copay+PYD Hospital Services Option 1/Option 2 Option 1/Option 2 Option 1/Option 2 Inpatient Hospital $700/$1,000 50%after PYD $700/$1,000 50%after PYD $700/$1,000 50%after PYD Outpatient Surgery $300/$600 50%after PYD $300/$600 50%after PYD $300/$600 50%after PYD Advanced Imaging $200 SO%after PYD $200 50%after PYD $200 50%after PYD Emergency Room $200 $200 $200 $200 $200 $200 Physician Services $50 $50 $50 $50 $50 $50 Ambulance PYD In-Network PYD PYD In-Network PYD PYD In-Network PYD Outpatient Therapy $45/$60 50%after PYD $45/560 j 50%after PYD $45/560 50%after PYD Mental Healh&Substance Abuse Inpatient Hospital No Charge ' 50% No Charge 50% No Charge 50% Outpatient Services No Charge 50% No Charge 50% No Charge I 50% Pharmacy Plan Generic $10 $10 $10 ' Preferred Brand $50 50% $50 50% $50 50% Non Preferred Brand 580 58o 580 Mail Order Copay 2.5x I N/A 2.5x N/A 2.5x N/A Premium per Month Traditional Traditional Traditional Employee 46 $608.58 $650.39 $638.89 Employee+Spouse 4 $1,448.40 $1,547.92 $1,520.55 Employee+Child(ren) 14 $1,119.78 $1,196.71 $1,175.55 Family 27 51,898.75 _ $2,029.21 _ $1,993.33 Monthly Premium $100,731.45 $107,652.23 S105,748.75 Annual Premium $1,208,777.40 $1,291,826.76 $1,268,985.00 Total$Increase N/A $83,049.36 $60,207.60 Total%Increase N/A 6.9% 5.0% Village ofTequesta FtDM-f GEHRING AA GROUP Medical Insurance Renewal Evaluation INSURANCE B R O K E R SI o CONSULTANTS Effective Date:October 1,2017 CURRENT INITIAL RENEWAL NEGOTIATED RENEWAL SCHEDULE OF BENEFITS Florida Blue Florida Blue Florida Blue BlueOptions Plan 05180/05181 BlueOptions Plan 05180/05181 BlueOptions Plan 05180/05181 Plan Basics In Network Out of Network In Network Out of Network /n Network Out of Network Lifetime Maximum Unlimited I Unlimited Unlimited Unlimited Unlimited Unlimited Plan Year Deductible(PYD) Single $1,500 $3,000 $1,500 $3,000 $1,500 $3,000 Family $3,000 $6,000 $3,000 $6,000 $3,000 i $6,000 Out of Pocket Maximum Includes all cost share Includes all cost share Includes all cost share Single $3,000 I $6,000 $3,000 $6,000 $3,000 $6,000 Family 56,000 $12,000 $6,000 $12,000 $6,000 $12,000 Coinsurance 10% 40% 10% 40% 10% 40% Physician Services Primary Care Physician 10%after PYD 40%after PYD 10%after PYD I 40%after PYD 10%after PYD 40%after PYD Specialist 10%after PYD 40%after PYD 10%after PYD 40%after PYD 10%after PYD 40%after PYD Other(Chiropractic,Prenatal) 10%after PYD 40%after PYD 10%after PYD 40%after PYD 10%after PYD 40%after PYD Preventive Benefits No Charge 40% No Charge 40% No Charge 40% Laboratoty Svcs.(Indep.Diag.TestingCtr.) PYD 40%after PYD PYD 40%after PYD PYD j 40%after PYD X-Rays 10%after PYD 40%after PYD 10%after PYD 40%after PYD 10%after PYD 40%after PYD Physical Therapy 10%after PYD 40%after PYD 10%after PYD 40%after PYD 10%after PYD 40%after PYD Urgent Care Facility 10%after PYD 10%after PYD 10%after PYD 10%after PYD 10%after PYD 10%after PYD Hospital Services Inpatient Hospital 10%after PYD 40%after PYD 10%after PYD 40%after PYD 10%after PYD 40%after PYD Outpatient Surgery 10%after PYD 40%after PYD 10%after PYD 40%after PYD 10%after PYD 40%after PYD Advanced Imaging 10%after PYD 40%after PYD 10%after PYD 40%after PYD 10%after PYD 40%after PYD Emergency Room 10%after PYD 10%after PYD 10%after PYD 10%after PYD 10%after PYD 10%after PYD Physician Services 10%after PYD 10%after In-Net PYD 10%after PYD 10%after In-Net PYD 10%after PYD 10%after In-Net PYD Ambulance 10%after PYD 10%after In-Net PYD 10%after PYD 10%after In-Net PYD 10%after PYD j 10%after In-Net PYD Outpatient Therapy 10%after PYD 40%after PYD 10%after PYD 40%after PYD 10%after PYD 40%after PYD Mental Health&Substance Abuse Inpatient Hospital 10%after PYD 40%after PYD 10%after PYD 40%after PYD 10%after PYD 40%after PYD Outpatient Services 10%after PYD 40%after PYD 10%after PYD 40%after PYD 10%after PYD 40%after PYD Pharmacy Plan Generic $10 after PYD $10 after PYD $10 after PYD i Preferred Brand $50 after PYD 50%after In-Net PYD $50 after PYD 50%after In-Net PYD $50 after PYD 50%after In-Net PYD Non Preferred Brand $80 after PYD $80 after PYD . $80 after PYD Mail Order Copay 2.5x after PYD N/A 2.5x after PYD 1 N/A 2.5x after PYD N/A Premium per Month HDHP* HDHP* HDHP* Employee 1 $520.84 $562.18 $552.24 Employee+Spouse 1 $1,147.74 $1,241.00 $1,219.06 Employee+Child(ren) 0 $887.34 $959.43 $942.47 Family 0 $1,504.61 $1,626.86 $1,598.09 Monthly Premium $1,668.58 $1,803.18 $1,771.30 Annual Premium $20,022.96 $21,638.16 $21,255.60 • Total$Increase N/A $1,615.20 $1,232.64 Total%Increase N/A 8.1% 6.2% *Premiums do not include HSA administration fee psL GEHRING GROUP Village of Tequesta INSURANCE BROKERS,/A CONSULTANTS Dental Insurance Renewal Evaluation Effective Date: October 1, 2017 CURRENT RENEWAL MetLife MetLife SCHEDULE OF BENEFITS Dental PPO Plan Dental PPO Plan Plan Basics In Network Non Network In Network Non Network 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 Benefits Preventative 100% 100% 100% 100`Yo Basic 100% 80% 100% 80% Major 60% 50% 60% 50% Orthodontia 50% 50% 50% 50% Service Information Out of Network Benefits Payable Level 90th percentile 90th percentile Benefits Waiting Period(Timely Entrants) None None Orthodontia Lifetime Maximum $1,000 $1,000 Endodontics/Periodontics Payable Level Basic Basic Rate Guarantee Expires 9/30/2017 12 Months Premium per Month Employee 57 $39.83 $41.02 Employee+Family 39 $107.51 $110.74 Monthly Premium $6,463.20 $6,657.00 Annual Premium $77,558.40 $79,884.00 $Increase N/A $2,325.60 %Increase N/A 3.0%