HomeMy WebLinkAboutR-2019-093 City Authorizing to Execute and Accept Agreements for Selection of the City's Fully Insured Health, Dental, Vision, and Life Insurance Coverage Procured using Gehring Group as Broker RESOLUTION NO. 2019-093
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF DANIA
BEACH, FLORIDA, AUTHORIZING THE PROPER CITY OFFICIALS TO
EXECUTE AND ACCEPT AGREEMENTS FOR SELECTION OF THE
CITY'S FULLY INSURED HEALTH, DENTAL, VISION, AND LIFE
INSURANCE COVERAGE PROCURED USING GEHRING GROUP AS
BROKER OF RECORD FOR THE CITY OF DANIA BEACH WITH THE
FLORIDA LEAGUE OF CITIES, CIGNA LIFE INSURANCE COMPANY,
AND NATIONAL VISION ADMINISTRATORS INSURANCE COMPANY,
FOR INSURANCE COVERAGES BEGINNING OCTOBER 1, 2019
THROUGH SEPTEMBER 30, 2020, FOR ACTIVELY WORKING AND NON-
MEDICARE ELIGIBLE RETIRED EMPLOYEES; FURTHER,
AUTHORIZING CITY OFFICIALS TO EXECUTE AND ACCEPT AN
AGREEMENT WITH MAXON ADMINISTRATORS TO ADMINISTER THE
CITY'S SELF-INSURED SHORT TERM DISABILITY COVERAGE
BEGINNING OCTOBER 1, 2019 THROUGH SEPTEMBER 30, 2020 FOR
ALL ACTIVELY WORKING, ELIGIBLE EMPLOYEES; PROVIDING FOR
CONFLICTS; FURTHER, PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, the City of Dania Beach obtained the services of the Gehring Group as a
Broker of Record to secure coverage for the City's group medical, dental, vision, life, accidental
death and dismemberment, supplemental life and short term disability insurance for the 2019-
2020 plan year•, and
WHEREAS, the City of Dania Beach solicited requests for proposals on June 4, 2019;
and
WHEREAS,proposals were received on June 24, 2019; and
WHEREAS,proposals were reviewed by the City's health insurance committee; and
WHEREAS, the City Administration has determined that, based on the City's claims
experience, which the Gehring Group reviewed and analyzed, it is recommended that the City
Administration select health plans for the 2019-2020 plan year, and
WHEREAS, based on current employee and non-Medicare eligible retiree census data,
the City's health plan premium cost will be increased by thirteen and nine-tenths percent (13.9%)
resulting in an estimated additional annual cost to the City of Three Hundred Thirty One
Thousand Eight Hundred Seventy Five Dollars ($331,875.00) and Fifty Eight Thousand Five
Hundred Sixty Six Dollars ($58,566.00) to active employees and non-Medicare eligible retirees
in annual premiums, with a total decrease in City and employee annual cost to ancillary plan
coverages of Forty Thousand Three Hundred Twenty Dollars and Thirty Six Cents ($40,320.36);
and
WHEREAS,based on the current employee census,the City's Life and Accidental Death
and Dismemberment ("AD&D") premiums will decrease by an estimated annual amount of
Seven Thousand Three Hundred Eighty Two Dollars and Four Cents ($7,382.04);
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE
CITY OF DANIA BEACH, FLORIDA:
Section 1. That the above "Whereas" clauses are ratified and confirmed as being true
and correct, and they are made a part of and incorporated into this Resolution by this reference.
Section 2. That the proper City officials are authorized to execute appropriate
documents to accept the proposal of the Florida League of Cities on behalf of the City of Dania
Beach to provide fully insured medical coverage to eligible employees and non-Medicare
eligible retirees at the following not to exceed monthly rates:
Current Renewal
(FY 19/20)
Single $785.82 $895.05
Family $2082.64 $2372.13
Section 3. That the proper City officials are authorized to execute appropriate
documents to accept the proposal of Cigna DPPO Insurance Company on behalf of the City of
Dania Beach to provide fully insured dental coverage to eligible employees and retirees at the
following not to exceed monthly rates per participant coverage:
Current—Reliance Standard FY 2019/2020
Single $31.75 $26.30
Family $99.74 $82.62
Section 4. That the proper City officials are authorized to execute appropriate
documents to accept the proposal of National Vision Administrators (NVA) Insurance Company
on behalf of the City of Dania Beach to provide fully insured vision coverage to eligible
employees and retirees at the following not to exceed monthly rates per participant coverage:
2 RESOLUTION#2019-093
Current—Reliance Standard FY 2019/2020
Single $7.36 $5.15
Family $17.64 $12.36
Section 5. That funding for the cost of the City's health claims program
administration for medical, dental and vision coverage is planned and shall be charged to the
City Health Insurance Sub-Fund, Professional Services Account, Acct. No. 501-1800-519-45-40
(active employees) and 501-1800-519-45-41 (retirees), respectively.
Section 6. That the proper City officials are authorized to execute appropriate
documents to accept the proposal of Cigna Life Insurance Company on behalf of the City of
Dania Beach to provide basic life insurance and accidental death and dismemberment coverage
("AD&D") to eligible employees and retirees in an estimated amount of Fourteen Thousand One
Hundred Seventy Three Dollars and Sixty Eight Cents ($14,173.68)based on current census.
Section 7. That funding for the cost of the City's life insurance program is planned
and shall be charged to the City Health Insurance Fund, Life Insurance Account, Account No.
501-1800-519-45-60.
Section 8. That the proper City officials are authorized to execute appropriate
documents pertaining to the renewal of an agreement with Maxon Administrators, Inc. to provide
third party claims administration for the City's self-insured short term disability plan to eligible,
full time working employees for a not to exceed rate of Four Dollars Twenty Five Cents ($4.25)
per employee per month.
Section 9. That funding for the cost of the City's disability claims program
administration for short term disability is planned and shall be charged to the City Health
Insurance Fund, Professional Services Account, Account No. 501-1800-519-45-50.
Section 10. That the City Commission authorizes the City to exceed the annual vendor
threshold of Twenty Five Thousand Dollars for each vendor as necessitated for fiscal year 2019-
2020.
Section 11. That all resolutions or parts of resolutions in conflict with this Resolution
are repealed to the extent of such conflict.
3 RESOLUTION#2019-093
Section 12. That this Resolution shall be in force and take effect on October 1, 2019.
PASSED AND ADOPTED on August 27, 2019.
ATTEST: tA
a �y
THOMAS SCHNEIDER, CMC cr LOfI L ELLEN
CITY CLERK q 9� MAYOR
ej�SHEO'y
APPROVED AS TO F RM AND CORRECTNESS:
THOMAS�.,KNS�IVO
CITY ATTORNEY
4 RESOLUTION#2019-093
CITY OF DANIA BEACH
Employee Benefits Insurance Evaluation
DANIA BEACH
SEA IT, LIVE IT. LOVE IT.
REQUEST FOR PROPOSAL RECOMMENDATION FOR:
GROUP MEDICAL INSURANCE
GROUP DENTAL INSURANCE
GROUP VISION INSURANCE
GROUP LIFE INSURANCE
PLAN YEAR EFFECTIVE: OCTOBER 1, 2019
August 27, 2019
Presented By:
r'wm,,
GEHRING GROUF
EMPLOYEE BENEFITS I RISK MANAGEMENT
4200 Northcorp Pkwy., Ste. 185
Palm Beach Gardens, FL 33410
Tel: (800) 244-3696 Fax: (561) 626-6970
www.gehringgroup.com
Employee Benefits Renewal Evaluation & Recommendation
Plan Year Effective: October 1, 2019
EXECUTIVE SUMMARY
Last year, the City renewed its medical insurance coverage with the Florida Municipal Insurance
Trust (FMIT) offered through the Florida League of Cities, and enjoyed rate holds on its group
ancillary dental, vision and life insurance through Reliance Standard for an additional year.
This year the City decided to market all lines of coverage for a number of reasons.The three most
important reasons were:
1. Timing since last market check having exceeded 5 years;
2. All lines of coverage being up for renewal; and
3. Establishing medical eligibility provisions for the City's pensioned retiree class
The City is proposing renewing medical insurance with FMIT, transitioning Group Dental and Life
insurance to Cigna, and transitioning Group Vision insurance to National Vision Administrators
(NVA).
Background Information
The City of Dania Beach currently offers group medical, dental, vision, life & accidental death
insurance to its full time employees, retirees and their dependents (subject to eligibility
guidelines).The current medical program is fully insured with the Florida League of Cities and is
administered by United Healthcare. The total annual cost of the medical insurance program for
the 2018-2019 plan year is approximately $2,808,910 (based on current enrollment of 151
employees and retirees).The total annual program cost to include the ancillary lines of coverage
is currently$3,041,599.
MEDICAL RENEWAL ANALYSIS
Pursuant to Gehring Group's review of claims experience and large claim losses it was anticipated
that the City's renewal would generate an 18.9% increase. This increase was projected based
upon an 118% loss ratio and the City having two claimants with claims in excess of$600,000.
The market was fairly unresponsive to the City's request for medical quotes due to the plan's
performance over the last 24 months having exceeded 100% loss ratios resulting from gross
claims paid to premium dollars collected, in addition to the large claim activity that was reported
as an underwriting requirement. The City received Declined to Quote (DTQ) responses from
Aetna, AvMed, Florida Blue, Humana and United Healthcare (UHC). The majority of declinations
received stated the carrier's inability to offer competitive rates, with one proposer declining to
quote based on the ratio of retirees to active participants having exceeded their underwriting
guidelines, and a second declining to quote due to their strategic business relationship with the
Florida League of Cities/FMIT.
The City received a formal response from Cigna, as well as the renewal offer from FMIT. Cigna
proposed a 32.35% increase and agreed to the City's unique retiree eligibility provisions. Initially
FMIT provided a renewl offer of 13.9%, but declined to accommodate the City's unique retiree
[2]
GEHRIENGRGROUP'
eligibility provisions. After discussions with FM IT to confirm that other proposers were willing to
allow this set of retiree membership, the City was able gain FMIT's approval to cover this class.
The City met with its employee union representative to review the offers and it was decided that
WIT provided the best option with no disruption to employees,while remaining within the City's
budget.The City also ensured that even at the lowest pay grade level,the adjustment to premium
share for renewing the current plan design at 13.9% would not erode negotiated pay increases
effective October 1, 2019.
MEDICAL RECOMMENDATION
Therefore the Gehring Group recommends that the City maintain its current fully insured medical
insurance program with the Florida Municipal Insurance Trust sponsored by the Florida League
of Cities (UnitedHealthcare administering the plan) at a 13.9% increase or approximately
$332,000 in additional City funding and $58,500 in employee funding based upon the City's
collective bargaining agreement. This renewal was the best offer received and includes no
changes to the City's current program design, and will be partially offset by over $41,000 in
savings gained through ancillary benefits. The schedule of benefits and pricing for both medical
options is outlined in the attached Request for Proposal (RFP) Evaluation exhibit.
DENTAL RECOMMENDATION
The City received numerous competitive quotes on the Group Dental Insurance request with
Cigna having provided the most competitive offer in terms of both pricing and benefits.The
schedule of benefits and pricing for the top 2 proposers is shown in the Request for Proposal
(RFP) Evaluation exhibit.The recommendation to transition coverage to Cigna results in a
savings of$30,762 and includes an analysis of member provider access having achieved 95.5%
access overall.
VISION RECOMMENDATION
The City received numerous competitive quotes on the Group Vision Insurance request with
National Vision Administrators (NVA) having provided the most competitive offer in terms of
both pricing and benefits.The schedule of benefits and pricing for the top 2 proposers is shown
in the Request for Proposal (RFP) Evaluation exhibit.The recommendation to transition
coverage to NVA results in a savings of$9,558 and includes an analysis of member provider
access having achieved 96.8%access overall.
LIFE and AD&D RECOMMENDATION
The City received numerous competitive quotes on the Group Basic Life and AD&D and Group
Voluntary Life Insurance.The Standard offered the most competitive quote in terms of pricing
with a slight benefit decrement. However, Cigna's quote was the closest in terms of existing
benefits and, when combined with the Dental proposal, offered the greatest savings overall to
[3]
GEHRIENGQGROUP`
the City with a combined savings of$37,947.The schedule of benefits and pricing for the top 2
proposers is shown in the Request for Proposal (RFP) Evaluation exhibit.
Summary
The City of Dania Beach will continue to offer medical, dental, vision and life & accidental death
insurance to its full time employees, retirees and their dependents (subject to eligibility
guidelines) at a total annual cost of$3,384,536 based on current enrollment.This premium
volume represents an overall increase of$342,937 or 11.27%over current premium levels.The
City will absorb$290,419 of the overall increase, which includes over$41,000 in savings to the
City in transitioning the ancillary benefits, with employees and retirees sharing in the $52,518
difference.
This level falls just outside of a standard range of 8-10%increases in employee benefit program
costs amongst Public Sector employers in South Florida. However given the state of the medical
plan's performance, achieving an overall increase of 11.27% is justifiable. Furthermore, the
City's benefit package will remain highly competitive when compared to surrounding cities and
Public Sector entities offering rich benefits at equitable costs.
EXHIBITS
• Request for Proposal (RFP) Evaluation
• Executive Summary
[4]
C GEHRINGQ,GROW
City of Dania Beach G E H R I N G G ROU P�
EWA- EMPLOYEE BENEFITS I RISK MANAGEMENT
Medical Insurance RFP Evaluation
Effective Date: October 1, 2019
Current Renewal Alternative#1
Choice Plus Plan 2 Choice Plus Plan 2 Op. Access Plus(OAP) Plan
Lifetime Maximum Unlimited Unlimited Unlimited
In Network Out of Network In Network Out of Network In Network Out of Network
: _alendar Year Deductible(CYD)
Single $250 1 $500 $250 $500 $250 $500
Family $500 $1,000 $500 $1,000 $500 $1,000
Coinsurance(Member Responsibility) 10% 30% 10% 30% 10% 30%
Out-of-Pocket Maximum Includes All Costs Includes All Costs Includes All Costs
Single $2,500 $5,000 $2,500 $5,000 $2,500 $5,000
Family $5,000 $10,000 $5,000 $10,000 $5,000 $10,000
Non-Hospital Services
Primary Care Physician Office Visit $15 30%after CYD $15 30%after CYD $15 30%after CYD
Specialist Office Visit $30 30%after CYD $30 30%after CYD $30 30%after CYD
Preventive Services No Charge Not Covered No Charge Not Covered No Charge Not Covered
Laboratory Services No Charge 30%after CYD No Charge 30%after CYD No Charge 30%after CYD
Advanced Imaging-CT, PET, MRI $100 30%after CYD $100 30%after CYD $100 30%after CYD
Urgent Care Center $50 30%after CYD $50 30%after CYD $50 30%after CYD
Hospital Services
Inpatient 10%after CYD 30%after CYD 10%after CYD 30%after CYD 10%after CYD 30%after CYD
Outpatient Surgery $100 30%after CYD $100 30%after CYD $100 30%after CYD
Physician Services 10%after CYD 30%after CYD 10%after CYD 30%after CYD 10%after CYD 30%after CYD
Emergency Room $125 $125 $125
Ambulance 10%after CYD 10%after In-Net CYD 10%after CYD 10%after In-Net CYD 10%after CYD 10%after In-Net CYD
Mental Health/Substance Abuse Services
Inpatient 10%after CYD 30%after CYD 10%after CYD 30%after CYD 10%after CYD 30%after CYD
Outpatient $15 30%after CYD $15 30%after CYD $15 30%after CYD
Prescription Drug Benef%„. ;�x 9 �..,,,. ;
Generic Drugs $10 Tier 1-3 Copay+any $10 Tier 1-3 Copay+any $10 Tier 1-3 Copay+any
Formulary Drugs $35 amount over the $35 amount over the $35 amount over the
Non-Formulary Drugs $60 $60 $60
Specialty Drugs/Injectables N/A allowed amount N/A allowed amount N/A allowed amount
Mail Order-90 day supply 2.5x Retail Copay Not Covered 2.5x Retail Copay Not Covered 2.5x Retail Copay Not Covered
Monthly Rates-Active/Pre-65 Retiree
Employee Only 62 $785.82 $895.05 $1,040.11
Employee+ Family 89 $2,082.64 $2,372.13 $2,756.30
Monthly Premium 151 $234,076 $266,613 $309,798
Annual Premium $2,808,910 $3,199,352 $3,717,570
$Increase N/A $390,442 $908,661
%Increase N/A 13.90% 32.35%
1
City of Dania Beach C G E H R I N G GROUP"
PPO Dental Insurance RFP Evaluation - BAFO EMPLOYEE BENEFITS I RISK MANAGEMENT
Effective Date: October 1, 2019
Current Renewal Alternative#1 Alternative#2
Schedule of Benefits Reliance Standard Reliance Standard Cigna MetLife
Plan 1 Plan 1 Total DPP•
Plan Basics In Network Out of Network In Network Out of Network In Network Out of Network In Network Out of Network
Annual Benefit Maximum $2,000 $2,000 $2,000 $2,000
Orthodontic Lifetime Max $1,000 $1,000 $1,000 $1,500
Deductibles
Single $50 $50 $50 $50 $50 $50 $50 $50
Family $150 $150 $150 $150 $150 $150 $150 $150
Deductible Waived for Preventive
Services? Yes Yes Yes Yes Yes Yes Yes Yes
Benefits
Class 1-Preventive/Diagnostic 100% 100% 100% 100% 100% 100% 100% 100%
Class 2-Basic Services 80% 80% 80% 80% 80% 80% 80% 80%
Class 3-Major Services 50% 50% 50% 50% 50% 50% 50% 50%
Class 4-Orthodontia (Up to age 19) 50% 50% 50% 50% 50% 50% 50% 50%
Waiting Period
Class 3-Major Services None None None None
Class 4-Orthodontia (Up to age 19) None None None None
Coverage Clarification
Endodontic and Periodontic are covered
Class 2 Services Class 2 Services Class 2 Services Class 2 Services
as:
Out of Network Benefits Payable Level 80% of UCR 80%of UCR 80%of UCR 90%of UCR
Participation Requirement N/A N/A 65% At least 10 lives
Rate Guarantee Expires 9/30/2019 24 Months 24 Months 24 Months
Monthly Rates
Employee 62 $31.75 $31.12 $26.30 $26.99
Employee+Family 130 $99.74 $97.76 $82.62 $84.78
Monthly Premium $14,935 $14,638 $12,371 $12,695
Annual Premium $179,216 $175,659 $148,454 $152,337
$Change N/A -$3,557.52 -$30,762.00 -$26,879.04
Change N/A -2.0% -17.2% -15.0%
2
City of Dania Beach f7w, G E H R I N G GROUP
Vision Insurance RFP Evaluation / EMPLOYEE BENEFITS I RISK MANAGEMENT
Effective Date: October 1, 2019
Current Renewal Alternative#1 Alternative#2
Schedule of Benefits Reliance Standard Reliance Standard NVA MetLife
,O
In N work Out of Network In Network Out of Network In Network Out of Network In Network Out of Network
Frequency 12/12/12 12/12/24 12/12/ 12 months 12/12/12 months 12/12/12 months
(Exam/Lenses/Frames) months months
Services Allowance Reimbursement Allowance Reimbursement Allowance Reimbursement Allowance Reimbursement
Eye Exam $15 copay Up to$35 $10 copay Up to$35 $15 copay Up to$35 $15 copay Up to$45
Materials $15 copay N/A $10 copay $15 copay $15 copay N/A $15 copay N/A
Glasses Allowance Reimbursement Allowance Reimbursement Allowance Reimbursement Allowance Reimbursement
Single Lenses $15 copay Up to$25 $10 copay Up to$25 $15 copay Up to$25 $15 copay Up to$30
Bifocal Lenses $15 copay Up to$40 $10 copay Up to$40 $15 copay Up to$40 $15 copay Up to$50
Trifocal Lenses $15 copay Up to$55 $10 copay Up to$55 $15 copay Up to$55 $15 copay Up to$65
Frames Up to$100 Up to$45 Up to$130 Up to$45 Up to$100 Up to$45 Up to$100 Up to$55
v:w,
Contact Lenses Allowance Reimbursement Allowance Reimbursement Allowance Reimbursement Allowance Reimbursement
.,, N,�.
Contact Lenses (Elective) Up to$115 Up to$92 Up to$130 Up to$100 Up to$115 Up to$92 $100 Up to$80
Medically Necessary Paid in Full Up to$200 Paid in Full Up to$200 Paid in Full Up to$200 $15 copay Up to$210
Rate Guarantee Expires 9/30/20 9 24 Months 48 Months 1 24 Months
Monthly Rates.
Employee 57 $7.36 $7.36 $5.15 $5.52
Employee+ Family 127 $17.64 $17.64 $12.36 $13.23
Monthly Premium $2,660 $2,660 $1,863 $1,995
Annual Premium $31,918 $31,918 $22,359 $23,938
$Change N/A $0.00 -$9,558.36 -$7,979.40
Change N/A 0.0% -29.9% -25.0%
3
City of Dania Beach r7-, EMPLOGEYHRINGRGROUP`
ISK MANAGEMENT
Basic Life and AD&D Insurance RFP Evaluation - BAFO
Effective Date: October 1, 2019
Current Renewal Alternative#1 Alternative#2
Basic Life/AD&D Reliance Standard Reliance Standard The Standard
Class Description
Class 1-F/T $100,000 $100,000 $100,000 $100,000
Department Head
Class 2-Elected
Officials and $5,000 $5,000 $5,000 $5,000
Class 3-F/T EE< 1 year 1 X Salary to a maximum 1 X Salary to a maximum 1 X Salary to a maximum 1 X Salary to a maximum
of$50,000 in increments of$50,000 in increments of$50,000 in increments of$50,000 in increments
of service 000 of$1,000 of$1 of$1,000 of$1, ,000
Class 4-F/T EE>= 1 2 X Salary to a maximum 2 X Salary to a maximum 2 X Salary to a maximum 2 X Salary to a maximum
of$50,000 in increments of$50,000 in increments of$50,000 in increments of$50,000 in increments
year of service of$1,000 of$1,000 of$1,000 of$1,000
Class 5-Retiree $5,000 $5,000 $5,000 $5,000
Features
Waiver of Premium Included Included Included Included
Conversion Privileges Included Included Included Included
Accelerated Benefit 75%to max of$500,000 75%to max of$500,000 Class 1-4:75%to max of75%to max of$500,000
$500,000; Class 5:N/A
Age Reduction Schedule 50%at age 70 50%at age 70 50%at age 70 50%at age 70
Reduced to):
Rate Guarantee Expir"e ' 3 r'Mb-ht1 s
Monthly Rates
Basic Life Rate/$1,000 $0.250 $0.250 $0.140 $0.160
AD&D Rate/$1,000 $0.020 $0.020 $0.020 $0.020
Total Life and AD&D $0.270 $0.270 $0.160 $0.180
Rate
Estimated Life Volume $6,653,000 $6,653,000 $6,653,000 $6,653,000
Estimated AD&D $6,653,000 $6,653,000 $6,653,000 $5,833,000
Volume
Total Monthly Premium $1,796.31 $1,796.31 $1,064.48 $1,181.14
Total Annual Premium $21,555.72 $21,555.72 $12,773.76 $14,173.68
$Change N/A $0.00 -$8,781.96 -$7,382.04
%Change N/A 0.00% -40.74% -34.25%
4
EMPLOYEE BENEFITS I
PISK
City of Dania Beach C GEHRINGRGRNOUNT
Voluntary Life Insurance RFP Evaluation
Effective Date: October 1, 2019
Current Renewal Alternative #1
Benefit Reliance Standard Reliance Standard The Standard
$10,000 to $200,000 in $10,000 to $200,000 in
$10,000 increments $10,000 increments $10,000 to $200,000 in
Active Employees (combined Basic &Vol Life (combined Basic &Vol Life
$10,000 increments
over$150,000 cannot over$150,000 cannot
exceed 7x salary) exceed 7x salary)
$5,000 up $50,000 in $5,000 $5,000 up $50,000 in $5,000 $5,000 up $50,000 in $5,000
Spouse increments (cannot exceed increments (cannot exceed increments (cannot exceed
100% of EE amount) 100%of EE amount) 100%of EE amount)
Child 14 days- 6 months: $500 14 days- 6 months: $500 $5,000 (to age 25)
6 months- 26: $5,000 6 months- 26: $5,000
„ , a „ T
Guaranteed Issue
Employee $150,000 $150,000 $150,000
Spouse $30,000 $30,000 $30,000
1 „
Age Reduction
(Reduced do 50%at age 70 50% at age 70 50%at age 70
Conversion Included Included Included
Waiver of Premium Included Included Included
Participation Requirement N/A Current Participation 20%
K
<29 $0.09 $0.09 $0.09/$0.067
30- 34 $0.10 $0.10 $0.10/$0.068
35 - 39 $0.14 $0.14 $0.14/0.077
40-44 $0.21 $0.21 $0.21/$0.117
45 -49 $0.38 $0.38 $0.38/$0.182
50- 54 $0.58 $0.58 $0.58/$0.278
55 - 59 $0.94 $0.94 $0.94/$0.516
60- 64 $1.07 $1.07 $1.07/$1.026
65 - 69 $1.51 $1.51 $1.51/$1.905
70+ $3.52 $3.52 $3.52/$6.192
Child $0.10 $0.10 $0.05
5
City of Dania Beach PERKING GROUP`
EMPLOYEE BENEFITS RISK MANAGEMENT
Voluntary Life Insurance RFP Evaluation
Effective Date: October 1, 2019
Current Alternative #3
Benefit Reliance Standard Cigna
$10,000 to $200,000 in $10,000 to $200,000 in
$10,000 increments $10,000 increments
Active Employees (combined Basic &Vol Life (combined Basic&Vol Life
over$150,000 cannot over$150,000 cannot
exceed 7x salary) exceed 7x salary)
$5,000 up$50,000 in $5,000 $5,000 up $50,000 in $5,000
Spouse increments(cannot exceed increments (cannot exceed
100%of EE amount) 100%of EE amount)
Child
14 days- 6 months: $500 14 days- 6 months: $500
6 months- 26: $5,000 6 months- 26: $5,000
Guaranteed:Issue
Employee $150,000 $150,000 or 7x salary,
whichever is less
Spouse $30,000 $30,000
other Policy Provisions
Age Reduction
50%at age 70 50%at age 70
(Reduced to):
Conversion Included Included
Waiver of Premium Included Included
Participation Requirement N/A 20%
to Guarantee Expires 10/1/2019 36 Months
EE/SP Rates (per$1,000)
<29 $0.09 $0.09
30-34 $0.10 $0.10
35- 39 $0.14 $0.14
40-44 $0.21 $0.21
45 -49 $0.38 $0.38
50- 54 $0.58 $0.58
55 -59 $0.94 $0.94
60- 64 $1.07 $1.07
65 - 69 $1.51 $1.51
70+ $3.52 $3.52
Child $0.10 $0.17 6
City of Dania Beach . G E H R I N G GROUP"
/ EMPLOYEE BENEFITS � RISK MANAGEMENT
Employee Benefits EE/ER Cost Comparison
Effective Date: October 1, 2019
2018-2019 2019-2020
MEDICAL Florida League of Cities F ori a League o Cities
Total Employer Employee Total Employer Employee
Employee Only 62 $785.82 $667.95 $117.87 $895.05 $760.79 $134.26
Employee+ Family 89 $2,082.64 $1,770.24 $312.40 $2,372.13 $2,016.31 $355.82
MONTHLY PREMIUM 151 $234,075.80 $198,964.43 $35,111.37 $266,612.67 $226,620.77 $39,991.90
ANNUAL PREMIUM $2,808,909.60 $2,387,573.16 $421,336.44 $3,199,352.04 $2,719,449.23 $479,902.81
$ INCREASE N/A N/A N/A $390,442.44 $331,876.07 $58,566.37
INCREASE N/A N/A N/A 13.9% 13.9% 13.9%
StandardDENTAL Reliance
Total Employer Employee Total Employer Employee
Employee Only 62 $31.75 $26.99 $4.76 $26.30 $22.36 $3.95
Employee+Family 130 $99.74 $84.78 $14.96 $82.62 $70.23 $12.39
MONTHLY PREMIUM 192 $14,934.70 $12,694.50 $2,240.21 $12,371.20 $10,515.52 $1,855.68
ANNUAL PREMIUM $179,216.40 $152,333.94 $26,882.46 $148,454.40 $126,186.24 $22,268.16
$ INCREASE N/A N/A N/A -$30,762.00 -$26,147.70 -$4,614.30
%INCREASE N/A N/A N/A -17.2% -17.2% -17.2%
VISION
Total Employer Employee Total Employer Employee
Employee Only 57 $7.36 $6.26 $1.10 $5.15 $4.38 $0.77
Employee+ Family 127 $17.64 $14.99 $2.65 $12.36 $10.51 $1.85
MONTHLY PREMIUM 184 $2,659.80 $2,260.83 $398.97 $1,863.27 $1,583.78 $279.49
ANNUAL PREMIUM $31,917.60 $27,129.96 $4,787.64 $22,359.24 $19,005.35 $3,353.89
$ INCREASE N/A N/A N/A -$9,558.36 -$8,124.61 -$1,433.75
%INCREASE N/A N/A N/A -29.9% -29.9% -29.9%
BASIC LIFE Reliance Standard Cigna
Total Employer Employee Total Employer Employee
Basic Life Rate/$1,000 $0.250 $0.250 $0.000 $0.160 $0.160 $0.000
Basic AD&D Rate/$1,000 $0.020 $0.020 $0.000 $0.020 $0.020 $0.000
Total Rate/$1,000 $0.270 $0.270 $0.000 $0.180 $0.180 $0.000
Life and AD&D Volume $6,653,000 $6,653,000 $6,653,000 $6,653,000 $6,653,000 $6,653,000
MONTHLY PREMIUM $1,796.31 $1,796.31 $0.00 $1,197.54 $1,197.54 $0.00
ANNUAL PREMIUM $21,555.72 $21,555.72 $0.00 $14,370.48 $14,370.48 $0.00
$ INCREASE N/A N/A N/A -$7,185.24 -$7,185.24 $0.00
%INCREASE N/A _N/A N/A -33.3% -33.3% 0.0%
TOTALR•
Total Employer Employee Total Employer Employee
TOTAL MONTHLY PREMIUM $253,466.61 $215,716.07 $37,750.55 $282,044.68 $239,917.61 $42,127.07
TOTAL ANNUAL PREMIUM $3,041,599.32 $2,588,592.78 $453,006.54 $3,384,536.16 $2,879,011.31 $505,524.85
$ INCREASE N/A N/A N/A $342,936.84 $290,418.53 $52,518.31
%INCREASE N/A N/A N/A 11.27% 11.22% 11.59%