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Addon.Standard.LifeInsuranceSouth Miami To: The Honorable Mayor & Members of the City Commission Via: Buford R. Witt, Acting City Manager From: Carmen V. Baker, Acting Human Resources Manager Date: August 17, 2010 Agenda Item No.: I"'�l�l J ®N Subject: Life, Accidental Death & Dismemberment Resolution Request: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA, AUTHORIZING THE CITY MANAGER TO RENEW THE CONTRACT WITH STANDARD INSURANCE TO PROVIDE GROUP LIFE AND ACCIDENTAL DEATH, AND DISMEMBERMENT INSURANCE FOR CITY OF SOUTH MIAMI FULL TIME EMPLOYEES. TO BE CHARGED TO DEPARTMENTAL ACCOUNT NUMBERS RESPECTIVELY; PROVIDING FOR AN EFFECTIVE DATE. Reason /Need: We have received renewal rates from our current group life, accidental death, and dismemberment insurance carrier, Standard Insurance. Standard Insurance proposed a 23.5% decrease for the Life and Accidental Death and Dismemberment. Life /AD &D (Rate Guarantee Period: 2 Years thru 9130/2012) $0.13 (per $1,000) The City would cover the 100% of the $9,640 annual rate for Life /AD &D. Based on current enrollment assumptions (142 FTE), the annual decrease from this year to the next two years would be approximately 2,966 per year. Current staffing levels are at 144 full time employees. Backup Documentation: ❑ Proposed Resolution ❑ Proposed Life /AD &D Rates 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41. 42 43 44 45 46 RESOLUTION NO: A Resolution of the Mayor and City Commission of the City of South Miami, Florida, authorizing the City Manager to enter into a contract with Standard Insurance to provide Life /Accidental Death and Dismemberment insurance for City of South Miami full -time employees. To be charged to departmental account numbers respectively; providing for an effective date. WHEREAS, the City currently contributes one hundred percent (100 %) of the premiums for life /accidental death/dismemberment insurance for its fulltime employees; and, WHEREAS, currently, the City's is up for renewal with Standard Insurance; and, WHEREAS, the insurance carrier (Standard. Insurance) proposed a 23.5% decrease the next two (2) plan years; and, WHEREAS, with the selection of Standard Insurance, the designated Agent of Record will be Employee Benefits Consulting Group until such time as the contract expires or until determined by either party. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA, THAT; Section 1. This contract shall be effective October 1, 2010 and shall be renewable on an annual basis. Section 2. This engagement is at will and shall continue until either party terminates the engagement by giving written notice to the other party. The City shall not be charged for agent of record services, Employee Benefits Consulting Group shall be insurer. Section 3. This resolution shall take effect immediately upon approval. Contract with Standard Insurance to provide Life /Accident, Death & Dismembemtent. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 PASSED AND ADOPTED this th day ATTEST: CITY CLERK READ AND APPROVED AS TO FORM: 2010. APPROVED: IffiG%X4117 Commission Vote: Mayor Phillip Stoddard: Vice Mayor Valerie Newman: Commissioner Brian D. Beasley: Commissioner Velma Palmer: Commissioner Waiter Harris: Contract with Standard Insurance to provide Life /Accident, Death & Dismemberment.