Okaloosa County BOCC — August 4, 2015 — Employee Benefits Renewal — agenda request

BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: August 4, 2015 TO: Honorable Chairman and Members of the Board FROM: Laura Porter SUBJECT: Employee Benefits Renewal DEPARTMENT: Human Resources BCC DISTRICT: All STATEMENT OF ISSUE: Renewal rates for health, dental, life, long term disability (LTD) insurance benefits. BACKGROUND: The County provides employees with health, dental, life and LTD benefits. For the 2015-2016 year, there will be an increase of 3% in employee health insurance rates with Florida Blue as reflected in the table below. Florida Blue has also agreed to renew the 100% Proshare agreement currently in place. Okaloosa County BCC retirees are provided with two health care options: the traditional plan and a Medicare supplement option administered by Florida Blue. For the 2015-2016 fiscal year, retirees on the Medicare supplement plan will benefit from a 4.8% decrease in premiums. FL BLUE BASE PLAN 03769 Old Rate New Rate Paid by (Monthly) (Monthly) EMPLOYEE ONLY SINGLE $738.34 $760.49 BCC FAMILY $388.61 $400.27 Employee RETIREES SINGLE $738.34 $760.49 Individual FAMILY $1,126.95 $1,160.76 Individual FL BLUE BUY UP PLAN 03559 FULL TIME EMPLOYEE $738.34 $760.49 BCC EMPLOYEE SINGLE $50.75 $52.27 Employee CONTRIBUTION FAMILY $466.06 $480.04 Employee RETIREES SINGLE $789.09 $812.76 Individual FAMILY $1,204.40 $1,240.53 Individual BLUEMEDICARE SINGLE $346.60 $330.05 Individual The County changed the dental program in 2014, and it is currently administered by MetLife. Employee response has been positive. As outlined in the contract, the dental rates will increase by 5% for the 2015-2016 year. MET LIFE DENTAL Old Rate New Rate Paid By (Monthly) (Monthly) FULL-TIME SINGLE $20.84 $21.88 BCC EMPLOYEE FAMILY $39.61 $41.59 Employee RETIREES SINGLE $20.84 $21.88 Individual FAMILY $60.45 $63.47 Individual The Standard Company provided a 5-year rate guarantee for life and LTD insurance. The county pays for $25,000 in life insurance coverage per employee, and additional insurance at age- banded rates may be purchased by employees for them and their families. STANDARD INSURANCE Old Rate New Rate Paid by (Monthly) (Monthly) LONG TERM DISABILITY (50%) $3.50 $3.50 BCC LIFE W/ AD&D $25,000.00 Insured $3.25 $3.25 BCC LONG TERM DISABILITY (60%) $2.99 $2.99 Employee The County provides employees with a Flexible Benefits program. This program allows employees to take advantage of pre-tax savings on qualifying insurance premiums and expenses. The administrative fees associated with this program are paid by the County, but the accounts are funded by the employees through payroll deduction. The County realizes an overall savings by providing these benefits; it i