Submitted By
Kira Tchang, Assistant Village Manager/HR Director
Reviewed By
AMZ
Agenda Item Title
Title
A Resolution Approving a Professional Services Agreement with VistaNational Insurance Group, Inc. for Broker/Consultant Services for the Village's Employee Benefits and Insurance Programs for a Three-Year Period in an Amount Not to Exceed $35,000 Annually and Two Optional One Year Renewals and Authorizing its Execution
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Overview
Overview
VistaNational Insurance Group, Inc., has been selected to provide insurance brokerage services for a three-year term commencing January 1, 2022, with a right to renew for two (2) additional one-year terms through December 31, 2027.
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Recommendation
Recommendation
Approve the Resolution.
Fiscal Impact
Consistent with prior adopted budgets, the FY22 Health Insurance Fund budget will need to include funding for broker service fees in an annual amount not to exceed $35,000 which is a cost savings to the Village from current broker service fees of $39,000 annually.
Background
The Village's employee insurance program is self-funded. The Village's Employee Health Insurance Fund serves as the funding source for the payment of claims for medical services and prescription drugs provided for Village employees as well as eligible retirees and COBRA recipients who participate in the Village plans. Other insurance and benefits provided within Fund 6028 include vision, dental, and life insurance, administration of flexible spending accounts, and the opt-out program for Village employees who elect to be covered under a spouse's health insurance. The fund also receives payments made by employees and retirees for coverage elected.
VistaNational currently serves as the Village's broker and negotiates rates and discounts for insurance providers on behalf of the Village for the purpose of reducing premiums and fees or charges on claims for insurance and services provided to those covered under the Village's benefit plans. Vist...
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