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Res No 183-13-14001RESOLUTION NO.: 183-13-14001 A Resolution approving the selection of Blue Cross and Blue Shield to provide group health insurance and UHC to provide dental and vision coverage for the City of South Miami full time employees to be charged to departmental account numbers respectively. WHEREAS, the Benefits Consultant, Sapoznik Health & Wellness secured more than three competitive quotes for the City's Group Health, Dental and Vision Insurance and recommended Blue Cross and Blue Shield and UHC as the selected providers; and WHEREAS, the City Commission compared the insurance rates, benefit plan design, provider network as well as the City's previous claims experience /ratio; and WHEREAS, the City Commission wishes approve with the selection of Blue Cross and Blue Shield for the provision of Group Health and UHC for the provisions of Dental and Vision Insurance Benefits for all full time employees and participating retirees. WHEREAS, the premium charges shall be charged to departmental line items in account numbers 6101110 - 5132310, 6101110 - 5212310, 6101110 - 5212310, 6101110 - 5542310, 6101110 - 5692310, 6101110- 5742310, 0011200 - 5122310, 0011310 - 5132310, 0011320 - 5132310, 0011330 - 5132310, 0011410- 5132310, 0011610 - 5242310, 0011620 - 5242310, 0011640 - 5242310, 0011710 - 5192310, 0011720 - 5342310, 0011730- 5412310, 1111730- 5412310, 0011750 - 5192310, 0011760 - 5192310, 0011770 - 5192310, 0011790 - 5192310, 0011910 - 521.2310, 0012000 - 5722310, 0012020 - 5192310. NOW THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA, THAT: Section l: The City Commission hereby approves and selects Blue Cross and Blue Shield to provide of Group Health and UHC to provide Dental and Vision Insurance for the City of South Miami full time employees for the 2014 fiscal year. Section 2: This resolution shall take effect immediately upon adoption. PASSED AND ADOPTED this 3rd day of Sept. , 2013. ATTEST: ITVCLIERIC- READ AND APPROVED AS TO FORM Approved: v. COMMISSION VOTE: 5 -0 Mayor Stoddard: Yea Vice Mayor Liebman: Yea Commissioner Newman: Yea Commissioner Harris: Yea Commissioner Welsh: Yea s °u f� South Miami All•AmerleaCdy INCORPORATED CITY OF SOUTH MIAMI 1111if tolz1v OFFICE OF THE CITY MANAGER sou, INTER- OFFICE MEMORANDUM To: The Honorable Mayor, Vice Mayor and Members of the City Commission Via: Steven Alexander, City Manager From: LaTasha Nickle, Human Resources Director Date: August 26, 2013 Agenda Item No.: Subject: Health Insurance Resolution �� Request: A Resolution approving the selection of -Blue Cross and Blue Shield to provide group health insurance and UHC to provide dental and vision coverage for the City of South Miami full time employees to be charged to departmental account numbers respectively; providing for an effective date. Reason/Need: The City's Benefits Consultant, Sapoznik Health & Wellness solicited quotes from all carriers in the market. The companies responded as follows: Aetna Submitted proposal AvMed Submitted proposal Blue Cross Blue Shield Submitted proposal Cigna Healthcare Declined to quote Coventry Submitted proposal Humana Submitted proposal Neighborhood Health Partnership Submitted proposal Staff recommends that the City Commission select Blue Cross and Blue Shield as health and UHC as dental and vision insurance providers for the 2013 -2014 benefit plan year. Blue Cross Blue and Shield and UHC have proposed the following monthly premium rates for the upcoming plan year. This year, the health insurance industry rates increased by an average of 12.1 %. The proposal recommended by staff is significantly lower than the industry average. LOW HMO HIGH HMO POS (BCBS Bluecare 60) (BCBS Bluecare 56) (Blue Option 03768 LG) Employee $ 493.76 (6.02% increase) $ 526.95 $ 547.28 Employee/ Children $ 908.52 $ 969.59 $1,006.99 Employee/ Spouse $1,175.15 $1,254.15 $1,302.52 Employee/ Family $1,540.52 $1,644.10 $1,707.50 UIIC Dental Rates: DMO PPO Employee $10.98 $34.76 Employee/ Children $22.07 $78.12 Employee/ Spouse $22.84 $70.10 Employee/ Family $36.19 $125.21 UHC Vision Rates: Employee $6.66 Employee/ Children $12.66 Employee/ Spouse $13.32 Employee/ Family $26.21 The FY 2014 health plan rates represent an increase of 6.02% above the current FY 2013 rates. The City currently contributes $474.39 per covered employee per month toward health coverage which will increase to $493.76. In order to keep costs increases at a minimum while still obtaining a good plan we proposed several changes to the current plan design. Most significantly, the current plan includes a deductible of $1,500 individual /$3,000 family which will reduce to $500 /individual and $1,000 /family. The comparable plan from our current provider, NHP was proposed at an increase of 11.6% above the current year premium. The proposed change to Blue Cross provides a better plan at significant savings over the renewal rate. Premium charges for the health, dental and vision benefits shall be charged to the following budget line items as proposed in the Fiscal Year 2014 Budget. DEPARTMENT ACCT # CRA- ADMINISTRATIVE 6101110- 5132310 CRA- PROTECTIVE SERVICES 6101110 - 5212310 CRA- ECONOMIC DEVELOPMENT EMPLOYMENT 6101110- 5212310 CRA- PROPERTY MANAGEMENT 6101110- 5542310 C'R A- PUBLIC ASSISTANT SERVICES avvv�v�rv.!.�. tv Fa is �. ♦. vixw. v..xv��a _ ti7 -V 'I I I A V1Ud1- lU- ✓V/L✓_1V CRA- SPECIAL EVENTS 6101110- 5742310 CITY CLERK 0011200-5122310 CITY MANAGER 0011310- 5132310 CENTRAL SERVICES 0011320 - 5132310 HUMAN RESOURCES 0011330- 5132310 FINANCE 001 14 10- 5 13231 0 BUILDING DEPT 0011610- 5242310 PLANNING 0011620- 5242310 CODE ENFORCEMENT 0011640- 5242310 PW -BLDG MAINT 0011710- 5192310 PW -SOLID WASTE 0011720-5342310 PW- STREETS 0011730- 5412310 STORM WATER 1111730-5412310 PW- LANDSCAPE 0011750- 5192310 PW -EQUIP MAINT 0011760- 5192310 PW- OFFICE OF DIR 0011770-5192310 PW- ENGINEERING 0011790- 5192310 POLICE 0011910- 5212310 PARKS & REC 0012000 - 5722310 COMMUNITY CENTER 0012020 - 5192310 Backup Documentation: ❑ Proposed resolution. ❑ Sapoznik Health & Wellness Summary Report Group Name: City of South Miami Effective Date: October 1, 2013 BCBS r „1St �:y,,2y r•6'�',S:rs.x �?�,7 �.t.r; i �:;��7�' C: k(' ,. `t ..r l �NNl..C: Aa'x._ t rux 7+._ ¢g $: ^.5.2`. .ski "ppF�y,�,/�, a•95: rt .rv...:kL%Ytn ?, rit9rSfir.. i•'.xJ -. W yy,� �� }�p — .. `y.. y;�,v °��'A. �feFsii�iV+L :. %t i3 . `." Y. g ^rfi " � pp Rtt.. �� 'J C ;:Pp`n�!$i;jay ..Gtl f n'SvirrablY.4 �y d l�`Y i!} �h'' /��..,,,,55. b .. P. '] "�. T"gt stlgAy. 6,y;P`�('';o�.y, 9`!, y 0.Y.'vI�RAIWf`V`SrY R'i'! uh4,0.�;1' `ia. £ Sd �✓ ]AC���✓J�4i tiC0 y` I — ' N,'Fi. `fit'�:o 1,.';' 2 M •s'E'd�W!', :�� ! ,1 ehM k...,. n.l 1 s > .. .d%°,;u`F: ti:c...r�::. Physician $25 CO -PAY $25 CO -PAY $25 CO-PAY $15 CO-PAY $25 CO -PAY DED & 80% $20 CO -PAY DED & 50% Specialist $45 CO -PAY $45 CO-PAY $45 CO-PAY $35 CO-PAY $45 CO -PAY DED & 80% $45 CO -PAY DED & 50 Adult & Child Wellness Adult Wellness Max COVERED 100% (NO MAX) COVERED 100% (NO MAX) COVERED 100% (NO MAX) COVERED 100% (NO MAX) COVERED 100% (NO MAX) DED & 80% (NO MAX) COVERED 100% (NO MAX) 50% (NO MAX Mammograms COVERED 100% COVERED 1000% COVERED 100% COVERED 100% COVERED 100% DED & 80% COVERED 100% DED & 50% Emergency Room - Waived if Admitted $200 CO -PAY $100 CC-PAY DED THEN 100% $10D CO-PAY $200 CO-PAY $200 CO -PAY Urgent Care $50 CO -PAY $45 CO-PAY $50 CO-PAY $35 CO-PAY $50 CO-PAY DED & 80% $50 CO -PAY DED & 50% Independent Clinical Lab COVERED 100 % COVERED 100% COVERED 100% COVERED 100% COVERED 100% DED & 80% COVERED 100% DED & 50 Diagnostic Testing / MRI, CAT Scans $200 CO -PAY $80 CO -PAY DED & $100 CO -PAY $80 CO -PAY $200 CO-PAY DED & 80% $200 CO-PAY DED & 50 Outpatient Surgery - Ambulatory Surgical Center DED & $250 CO-PAY $200 CO -PAY DED THEN 100% $100 CO -PAY DED & $250 CO- PAY DED, $250 CO- PAY & 80% $200 CO-PAY DED & 50 Provider Services Ambulatory Surgery Center(ASC) DED THEN 100% COVERED 100% COVERED 100% $35 CO -PAY DED THEN 100% DED & 80% $45 CO -PAY DED & 50% Outpatient Surgery - Hospital DED & $250 CO -PAY $275 CO -PAY DED THEN 100% $150 CO -PAY DED & $250 CO- PAY DED, $250 CO- PAY & 80% $300 / $600 Co- PAY DED & 50 Inpatient Hospital DED & $250 CO -PAY $325 CO -PAY PER DAY, 5 DAY MAX DED THEN 100% $200 00-PAY PER DAY, 5 DAY MAX DED & $250 CO- PAY DED, $2S0 CO- PAY & 80% $700 / $1000 CO- PAY DED & 50% Provider Services Hospital DED THEN 100% COVERED 100% COVERED 100% COVERED 100% DED THEN 100% DED & 80% $50 CO-PAY Home Health DED THEN 100% 60 VISITS COVERED 100% 60 VISITS COVERED 1D0% 60 VISITS COVERED 1001/6 60 VISITS DED THEN 100% 60 VISITS DED & 80% 60 VISITS DED THEN 1001% 20 VISITS DED & 50% 20 VISITS Outpatient Therapy $50 CO -PAY 20 VISITS $6S CO -PAY 30 VISITS $50 CO-PAY 20 VISITS $55 CO-PAY 30 VISITS $50 CO-PAY 20 VISITS DED & 80% 20 VISITS $45 / $60 CO-PAY 35 VISITS DED & 50% 35 VISITS Deductible $1500/$3000 $500 /$1000 $1000/$2000 NONE $1000/$2000 $2000/$4000 $250/$750 $1000/$3000 Deductible Included in Out of Pocket Max NO YES NO N/A NO YES Co- Insurance 100% 90% 100% 90% 100% 80% 100% SO% Maximum Out of Pocket $3000 PER MEMBER $3500/$7000 $3000 PER MEMBER $25001$7500 $3000 PER MEMBER $5000 /$0000 $3000/$6000 1 $60001$12000 Out of Pocket Includes CO -PAYS, CO -INS & RX CO-PAY DED, CO-PAY & CO -INS CO -PAYS, COINS & RX CO -PAY CO -PAY & CO -INS CO-PAYS, COINS & RX CO-PAY DED, CO -PAY & CO-INS Prescription $20/$40/$60/20% $101$30/$50 $20/$401$6D/20% $10/$30/$50 $20/$40/$60/20% NOT COVERED $101$30/$50 50% Lifetime Maximum UNLIMITED UNLIMITED UNLIMITED UNLIMITED UNLIMITED UNLIMITED Premium Breakdown Current Re Negotiated Package #3 Negotiated Current Re- Negotiated Package #3 Negotiated Current Re- Negotiated Package #3 Negotiated Employee 77 $47439 $488.63 $514.33 $493.76 15 $542.60 $558.89 $548.91 $526.95 3 $694.97 $715.83 $570.08 $547.28 Employee/Spouse 2 $934.35 $962.40 $1,224,11 $1,175.15 2 $1,068.70 $1,100.78 $1,306.41 $1,254.15 0 $1,368.80 $1,409.89 $1,356.79 $1,302.52 Employee/Chikl(ren) 12 $839.50 $864.70 $946.37 $908.52 2 $960.21 $989.04 $1,009.99 $969.59 0 $1,229.84 $1,266.75 $1,048.95 $1,006.99 Employee/Family 2 $1,399.13 $1,441.13 $1,604.71 $1,540.52 0 $1,600.31 $1,648.35 $1,712.60 $1,644.10 0 $2,049.71 $2,111.23 $1,778.65 $1,707.50 Comments 93 Current Increase 3% Increase 10.43% Increase 6.02% 19 Current Increase 3% Increase 5.49% Increase 1.27 % 3 Current Increase 3% Decrease 17.97% Decrease 21.25% Monthly Total $51,268.99 $52,807.97 $56,617.49 $54,353.10 $12,196.82 $12,562.99 $12,866.45 $12,351.73 $2,084.91 $2,147.49 $1,710.24 $1,641.84 * *This data is provided for information purposes only. It is not intended to represent a binding obligation. The governing document for this purpose would be the COC issued by the carrier ** 10:19 AM Information provided by Sapoznik Insurance is proprietary. It may not be copied, emulated or distributed without express permission. 8/14/2013