Okaloosa County BOCC — August 5, 2014 — Action Item Printout — reading text

BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: August 5, 2014 TO: Honorable Chairman and Members of the Board FROM: Kay Godwin SUBJECT: Employee Benefits DEPARTMENT: Human Resources BCC DISTRICT: All STATEMENT OF ISSUE: Request approval of a new group dental insurance plan with Metropolitan Life Insurance Company (Met Life), approval of a new life insurance and long term disability insurance plan with The Standard Insurance Company, request advanced payments of required deposits of one month's estimated premiums, and renew group vision insurance with The Standard Insurance Company. BACKGROUND: As part of the overall compensation and benefits package, the county provides group dental insurance for full time employees with a family plan option paid 100% by employees. The county provides $25,000 of basic life with AD&D insurance to full time employees, with additional optional coverage available to employees and their families paid 100% by employees. The county provides a basic long term disability benefit to full time employees with a buy-up option paid 100% by employees. A group vision product is available to full time employees paid 100% by employees. The employees of the Clerk of Circuit Court, Supervisor of Elections and Property Appraiser currently participate in these group insurance programs. Employees of the Tax Collector participate in the group health insurance program, and they have expressed an interest in re-joining the county's dental, life, long term disability and vision insurance programs. Earlier this year, the county solicited proposals for dental, life, and long term disability insurance benefits (RFP RM-44-14). The selection committee reviewed the proposals and attended presentations by the top-ranked providers. The selection committee recommends the proposal submitted by Met Life for dental insurance. This proposal results in a savings to the county of approximately $28,500 in the first year. Staff also believes this plan will address some of the issues some employees have with the current provider. The selection committee recommends the proposal submitted by The Standard Life Insurance Company for life (with AD&D) and long term disability insurance. Both of these proposals result in a savings to the county and to employees while providing benefits similar to the current products. Projected first year savings to the county for employee life insurance is $11,000 and $9,000 for long term disability. Staff also recommends renewal of the group vision insurance with no changes to the benefits or rates. This coverage is paid 100% by employees. Attached is a rate sheet outlining the current and proposed rates that will be effective October 1, 2014. Kevin Locht with Corporate Benefits is the local broker for all of these products. OPTIONS: Approve or provide further direction. RECOMMENDATIONS: Staff recommends approval of the group dental insurance contract with Metropolitan Life Insurance Company (Met Life); approval of the life insurance (with AD&D) and long term disability insurance contract with The Standard Insurance Company; approval to pay advanced deposits of one month's estimated premiums to both companies for each product; renewal of the group vision insurance program with The Standard Insurance Company; and authorization for the Chairman to sign the required documents. RECOMMENDED BY: APPROVED BY: Ernie Padgett, County Administrator