TITLE
Consider a memorandum/resolution establishing the renewal rates for group employee medical and dental insurance benefits.
SUMMARY
AGENDA ITEM
Group Employee Medical and Dental Insurance Benefits
ORIGINATING DEPARTMENT
Internal Services: Human Resources
BACKGROUND INFORMATION
The City of Killeen provides medical and dental insurance, Scott and White Health Plan and MetLife, respectively, for each employee so that each has access to health care. In FY ’16, the City continued to pay 100% of the medical and dental care premiums, base plan only, for all eligible employees. Employees may purchase additional medical and dental care coverage for their family members, if they choose.
DISCUSSION/CONCLUSION
Medical insurance benefits are reviewed annually. The original proposed renewal for the SWHP FY ’17 rate was +12.9% of the FY ’16 rate, negotiated down to +9.3% by our benefits consultant. This increases the employee-only premium from $385.05 per month to $420.86 (actual cost to the City, $410.86) per month. The proposed renewal rate for medical insurance benefits provides competitive pricing for employee medical insurance, maintaining current core benefits and introducing access to telemedicine for the first time. We are very excited about the telemedicine opportunity; it will provide effective, easily-accessed care for employees who choose that mode and will be accompanied by $0 co-payfor employees who choose one of the PPO plans.
Dental insurance benefits are also reviewed annually. The proposed renewal for MetLife FY ’17 rate was +7.90% of the FY ’16 rate, negotiated down to +3.0% by our benefits consultant who also secured a guarantee of no increase for FY ’18. This increases the employee-only premium from $23.52 per month to $24.24 per month. The renewal rate for dental insurance benefits also provides competitive pricing for the employee de...
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