To: Board of Supervisors
From: Human Resources
Meeting Date: November 12, 2019
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Department Contact: |
Cherie Johnson |
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234-6600 |
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Department Contact: |
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Phone: |
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Item Type: Consent Agenda |
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Time Allocated for Item: N/A |
Agenda Title:
title
Approval of Agreement with Hartford Life and Accident Insurance Company in the Amount of $397,872 to Provide Group Life and Accidental Death and Dismemberment Insurance and Voluntary Life and Accidental Death and Dismemberment Insurance to All Regular Employees, Effective January 1, 2020 through December 31, 2022
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Recommended Action/Motion:
recommendation
Approve Agreement with Hartford Life and Accident Insurance Company in the amount of $397,872 to provide Group Life and Accidental Death and Dismemberment Insurance and Voluntary Life and Accidental Death and Dismemberment Insurance to all regular employees, effective January 1, 2020 through December 31, 2022; authorize the Human Resources Director to approve additional amendments if required during the term of the Agreement period to pay the voluntary insurance premiums that are deducted from employee pay; and authorize Chair to sign same.
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Previous Board/Board Committee Actions:
N/A
Summary of Request:
In April of 2019 the consultant to the County’s Self-Funded Health Plan, Keenan and Associates, performed a full marketing for Group and Voluntary Life and AD&D insurance. Hartford Life and Accident Insurance Company (Hartford) has been selected to provide group coverage to all regular employees and voluntary coverage to all eligible employees, effective January 1, 2020. The new Agreement with Hartford reduces the annual premium paid by the County for group coverage by an estimated 27%.
The Agreement is for a period of 36 months and guarantees no increase to the rate the County will pay for group coverage and the rate the employees will pay for their voluntary insurance, excluding the automatic rate band changes which are calculated based on the member’s age and paid 100% by the employee.
The total Agreement amount consists of the County sponsored Group Life and AD&D coverage which is estimated to be $28,608 annually.
The estimated annual amount of the voluntary insurance is estimated to be near $105,000 annually but is ultimately based on the number of employees who are enrolled, the dependents that they have chosen to cover and the amount of coverage they select.
Alternative Action/Motion:
Return to Human Resources with further direction
Supervisorial District: All
vote requirement: Majority
Supplemental Information Available Online At: N/A
Fiscal Details:
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source of funding: 0715 |
budgeted in current f/y: Yes |
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current f/y cost: $32,679 for County sponsored group benefits (estimated). |
if no, please describe: |
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annual recurring cost: $28,608 for County sponsored group benefits (estimated) |
revenue agreement: N/A |
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budget clarification: FY costs only reflect the Group coverage costs. 50% of the fiscal year is with Mutual of Omaha, the current carrier until 12/31/19 and 50% will be with The Hartford, effective 01/01/20.
Agreement/Resolution/Ordinance Approved by County Counsel: Yes
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CEO Liaison: Darcie Antle, Deputy CEO |
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CEO Review: Yes |
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CEO Comments:
FOR COB USE ONLY
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Executed By: Lindsey Dunham, Deputy Clerk I |
Final Status:Approved |
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Date: November 14, 2019 |
Executed Item Number: Agreement Number: 19-255 |
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Note to Department Number of Original Agreements Returned to Dept: None, only 2 originals given. Original Agreement Delivered to Auditor? Yes |
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