HomeMy WebLinkAbout2019-117 - Authorizing the Purchase of Basic Life InsuranceRESOLUTION NO. 2019-117
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SANTA ANA AUTHORIZING THE PURCHASE OF BASIC
LIFE INSURANCE, ACCIDENTAL DEATH AND
DISMEMBERMENT BENEFIT, SUPPLEMENTAL
DEPENDENT ACCIDENTAL DEATH AND
DISMEMBERMENT BENEFIT, SUPPLEMENTAL LIFE
INSURANCE, DEPENDENT LIFE INSURANCE, AND LONG
TERM DISABILITY INSURANCE FOR EMPLOYEES
THROUGH THE HARTFORD LIFE AND ACCIDENT
INSURANCE COMPANY
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS
FOLLOWS:
Section 1: The City Council of the City of Santa Ana hereby finds,
determines and declares as follows:
A. In its current Memorandums of Understanding ("MOU") between the City
and its employee unions, Executive Management benefit Resolutions, and
employment agreements with appointed officials, the City Council has
approved the provision of various life insurance and other benefits that
include, life insurance, accidental death and dismemberment benefit,
supplemental life insurance, dependent life insurance, supplemental
accidental death and dismemberment benefit, and long-term disability
insurance ("insurance and benefits').
B. From January 1, 2015 to December 31, 2019, the City contracted with
Aetna Life Insurance for these insurance and benefits. The City's current
policy with Aetna Life Insurance was taken over by The Hartford Life and
Accident Insurance Company ("The Hartford") effective September 1, 2019.
However, the rate guarantee originally offered by Aetna expires December
31, 2019.
C. The City contracts with a broker, Kennan & Associates, for securing many
employee benefits including dental insurance, life insurance, accidental
death and dismemberment benefit, supplemental life insurance and long
term disability insurance. Kennan & Associates periodically reviews the
City's insurance and benefits to make sure that the rates and coverages are
competitive in the marketplace.
D. The Hartford has offered coverage for the insurance and benefits pursuant
to the terms and conditions attached hereto and marked as Exhibit "T' and
Resolution No. 2019-117
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incorporated herein as though fully set forth. The terms and conditions
satisfy the_City's obligations to provide these benefits pursuant to MOUs
with the various employee organizations, Executive Management benefit
Resolutions, and employment agreements with appointed officials.
E. Pursuant to the authorization requested in this Resolution, the City will
continue to purchase the insurance and benefits through the Hartford until
coverage is cancelled by the City.
F. The Hartford has provided a rate guarantee for January 1, 2020 to
December 31, 2020 for the insurance and benefits on the terms set forth in
Exhibit "1". The rate guarantee along with the coverages are attached
hereto as Exhibit "2" and incorporated herein as though fully set forth.
G. The rate guarantee offered by The Hartford is competitive in the
marketplace as evaluated by the City's broker and does not increase the
rates offered by Aetna for 2019.
H. The City will receive annual renewal notices for the upcoming year for The
Hartford's proposed premiums for the insurance and benefits coverages
authorized pursuant to this Resolution. Each year, City staff will provide the
annual renewals notices to the City Council for review.
Section 2: The City Council of the City of Santa Ana approves the purchase of
basic life insurance, supplemental life insurance, dependent life insurance, long term
disability insurance, accidental death and dismemberment benefit and supplemental
dependent accidental death and dismemberment benefit for employees through The
Hartford Insurance Company pursuant to the terms and conditions set forth in Exhibit
1" starting January 1, 2020 until cancelled.
Section 3: The City Council of the City of Santa Ana authorizes and delegates
to the City Manager the authority to execute and/or sign any documents, paperwork,
and/or policies necessary to procure the insurance and benefits through the Hartford, as
set forth in Section 2 of this Resolution.
Section 4: This Resolution shall take effect immediately upon its adoption by
the City Council, and the Clerk of the Council shall attest to and certify the vote adopting
this Resolution.
ADOPTED this 17th day of December, 2019.
Resolution No. 2019-117
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APPROVED AS TO FORM:
Sonia R. Carvalho
City Attorney
By: A K l9 �,mc"
Laura A. Rossini
Senior Assistant City Attorney
AYES: Councilmembers
NOES: Councilmembers
ABSTAIN: Councilmembers
K50, �' W-10"
/�,
Bacerra, Iglesias, Penaloza, Pulido, Sarmiento,
Solorio, Villegas (7)
None (0)
None (0)
NOT PRESENT: Councilmembers None (0
CERTIFICATE OF ATTESTATION AND ORIGINALITY
I, DAISY GOMEZ, Clerk of the Council, do hereby attest to and certify the attached
Resolution No. 2019-117 to be the original Resolution adopted by the City Council of the
City of Santa Ana on December 17, 2019.
Date:
c� 2LD�z
O Daisy Gomez
Clerk of the Council
City of Santa Ana
Resolution No. 2019-117
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