Title
Approval of the City of Roswell Employee Benefits program for the period October 1, 2011 to September 30, 2012.
Presented by Dan Roach, Human Resources Director
Body
Item Summary:
An RFP was issued and invitations to bid were solicited from all major insurance providers in the marketplace for all lines of coverage (Medical, Dental, Life, STD/LTD). Bids were received and evaluated on the basis of coverage levels, disruption rates, price, and competitor benefits. The recommendation is to bind coverage with United Healthcare for an HRA (Health Reimbursement Arrangement) and an HSA (Health Savings Account) for medical insurance coverage for all eligible employees, with a combined increase of 2.8%. The introductions of co-insurance for both plan designs, and an increase in out-of-pocket maximums for the HRA Plan only are recommended. The recommendations for ancillary lines of coverage are as follows: Dental - Standard, Life - Standard, and STD/LTD - Standard. Additionally, the offering of vision insurance through Standard, with the premium to be fully paid by employees electing coverage, is recommended.
Committee or Staff Recommendation:
On July 12, 2011 the Administration and Finance and Recreation and Parks Committee recommended placing this item on the July 25, 2011 Mayor and Council Agenda.
Financial Impact:
The FY 2012 Approved Budget for Group Benefit costs is $6,667,150. Benefits included are health, dental, life, short-term disability, long-term disability and the Employee Assistance Program (EAP). Of this amount, $5,829,280 is the City Contribution and $837,870 is the Employee Contribution. Funds are available in Cost Center 9002, Account #512100.
Presented by:
Dan Roach, Human Resources Director