HomeMy WebLinkAboutSAFEGUARD DENTAL (4) -1995REQUEST FOR
COUNCIL ACTION
CITY COUNCIL SEPTEMBER 18, 1995
MEETING DATE
APPROVE RENEWAL OF CONTRACTS
TITLE
FOR EMPLOYEE GROUP INSURANCE
C.S. 383
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air ][sit
CITY MANAGER
RECOMMENDED ACTION
CLERK OF THE COUNCIL USE ONLY
Approved
As Recol ende
F- )
As Allie nded (see M Inutes
Ord Inance on Ist Beading
_ rd inance ors 2nd Read ng
Irnplement ng Resolution
Set Public He d g For _..
j Contin e d o: �-
FILE NUMBER(S):
2��IKia�s
Direct the City Attorney to prepare and authorize the Mayor and
Clerk of the Council to renew the contracts for medical and dental
employee insurance on a month-to-month basise
DISCUSSION
Annual employee ►edical insurance contracts with CIGNA, Health Net,
and Kaiser Permanente are due for renewal on October 1, 1995. I
order to take advantage of a reduction jLn rates proposed for
October 1, 1995 and keep the ability to negotiate further cost
reductions this fiscal gear, month --to -month contract agreements are
necessary. Failure to renew the contracts at the reduced rate
would continue the current higher insurance rates paid by the City.
Medical Plans
051 25D
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EMPLOYEE INSURANCE CONTRACT EXTENSION
SEPTEMBER 18, 1995
PAGE TWO OF TWO
Dental Plans
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$12,84
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24,64
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FISCAL IMPACT.
costs savings to the City and employees of over $171,000 will be
reflected in the Employee Group Insurance Fund (account no.
8 1- 17 7 -65 2 1) so
it Francis
utive Director
Personnel Services
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APPROVED AS TO FUNDS & ACCOUNTS:
1k r,4&
Rod Coloma
Executive Director
Finance and Management Services
052
Employee Medical Group Insurance Renewal
November 6, 1995
Page two of two
The dental rates remain unchanged from the month-to-month
agreements and will continue:
Dental Plans
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FISCAL IMPACT
The projected annual costs taking into account the reduction by
one medical insurance carrier, are Net; $2,385,400.00 and
Kaiser: $1,729,400,00. Annual dental costs are projected at
Denticare: $20,600*00, Self - Funded Dental: $208,000 and
Safeguard: $ The annual cost of-each . an may vary
depending on changes in the number of employees enrolled. Funds
in the amount of $4,539,400.00 ax a budgeted and available in
Personnel Services Employee Benefits account no. 81-177-6521)0
JK4rmit Francis
Executive Director
Personnel Services
services
F:LL
H; s N D€ CS 5i NSRER. RF
25H
ED AS TO FUNDS AND ACCOUNTS
010
xecut iv - I hector
Finance and Management
REQUEST FOR
A;OUNCIL ACTION
O?�ati on Ist.
CITY COUNCIL November 1995
MEETING DATE
TITLE EMPLOYEE MEDICAL AND DENTAL
GROUP INSURANCE RENEWAL
CLERK F THE COUNCIL SE ONLY
Approved
As Recommended
[ As Amended (see Minutes)
Ord finance on 1st Reading
Ordinance on 2nd Reading
Implementing Resolution
Set Public Dearing For
Continued to:
FILE NUMBER(S): •� " % "� D
RECOMMENDED ACTION
Direct the city Attorney to prepare and authorize the Mayor and
Clerk of the council to execute renewal agreements rents for Employee
Group Medical. and Dental Insurance commencing January 1, 19969
SSION
Effective October 1, 1995, the city renewed its contracts with our
medical insurance plans, CIGNA, Health Net and Kaiser and dental
insurance carriers, De ticare and Safeguard on a month -to -month
basis in order to have the ability to negotiate further reduction
in rates through Galan consolidation. By consolidating medical.
insurance plans, the cot of raedical coverage to the City and its
employees can be significantly reduced. Kaiser and Health Net were
chosen as the two plans going forward. This combination allows
employees to continue having a choice of a staff-model and a
private practice plan at a substantial savings* The new rates will
be effective January 1, 1996, Health Net's rat es are guaranteed
through September 30f 19974 Kaiser's rates are guaranteed through
September 30, 1996. The new medical rates are as follows
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