Submitted By
Kira Tchang, Assistant Village Manager/Human Resources Director
Reviewed By
LKS
Agenda Item Title
Title
A Resolution Approving the 2020 Employee Health, Dental, Vision, Life, Accidental Death and Dismemberment, Accident, Critical Illness, Hospital, and Prepaid Legal Insurance Providers' Plan Designs and Premiums and Authorizing Their Execution
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Overview
Overview
This is an annual agenda item to approve various providers for the 2020 Employee Health, Dental, Vision, Life and Accidental Death and Dismemberment Insurance and COBRA administration with Blue Cross Blue Shield (BCBS)
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Recommendation
Recommendation
Approve the Resolution
Fiscal Impact
The proposed 2020 Employee Benefits plan includes:
Health Insurance with Blue Cross Blue Shield of Illinois: (See Exhibit A for premiums)
1) Reducing employee premiums by 2%.
2) Maintaining the status quo for deductibles (individual and family) for PPO plan.
3) Maintaining the status quo for out of pocket for individuals and families.
4) Maintain status quo for office visit, RX and ER co-pays.
5) Increasing the Individual Stop Loss from $125,000 to $135,000.
Renewal projections from BCBS are based on a two (2) year look back at Village health care expenses from June 1, 2017 through May 31, 2019. While the Village has experienced some unique, individual healthcare expenses to both the PPO and the HMO plans in 2019, overall expenses have continued to see a downward trend and are predicted to see a move from $8,605,200.64 in 2018 to $8,547,347.64 in 2020 for a total reduction of 0.68% in projected health plan expenses. This reduction and the current state of the healthcare reserve fund allow the Village to reduce employee premiums by 2% in 2020.
Optional Dental Insurance: Delta Dental (See Exhibit A for premiums). Premiums for optional dental insurance are paid 100% by the employee. Rates remain status quo for Individual Coverage. In order to provide a more equitable rate structure to e...
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