Submitted By
Julia Valdez, Assistant Village Manager/Human Resources Director
Reviewed By
LKS
Agenda Item Title
Title
A Resolution Approving the 2019 Employee Health, Dental, Vision, Life and Accidental Death and Dismemberment Insurance Providers' Plan Designs and Premiums and Authorizing Their Execution
End
Overview
Overview
This is an annual agenda item to approve various contract providers for the 2019 Employee Health, Dental, Vision, Life and Accidental Death and Dismemberment Insurance and COBRA administration with Blue Cross Blue Shield (BCBS).
Body
Staff Recommendation
Approve the Resolution.
Fiscal Impact
The proposed 2019 Employee Benefits plan includes:
Health Insurance with Blue Cross Blue Shield of Illinois: (See Exhibit A for premiums)
1) Maintaining the status quo for employee premiums.
2) Adjusting the deductible for Individual coverage in the PPO plan from $100 to $150
3) Adjusting the deductible for family coverage in the PPO plan from $250 to $300
4) Increasing the out of pocket for individuals from $850 to $1000
5) Increasing the out of pocket for families from $1750 to $1800
6) Maintain status quo for office visit, RX and ER co-pays.
Renewal projections from BCBS are based on a two (2) year look back at Village health care expenses from June 1, 2016 through May 31, 2018. While the Village has experienced some unique, individual healthcare expenses to both the PPO and the HMO plans in 2018, overall expenses have continued to see a downward trend and are predicted to see a move from $8,963,756.20 in 2018 to $8,665,352.80 in 2019 for a total reduction of -3.33% in health plan expenses. This reduction allows the Village to keep employee premiums status quo in 2019. Adjusting the deductibles and out of pocket expenses will put the Village closer to the market on these issues and will assist in managing consumer behavior. Prescription costs will also see a reduction in expenses to the Village for 2019 with the most significant ch...
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