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Item E13BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY Meeting Date: November 16, 2005 Division: Employee Services Bulk Item: Yes X No Department: Group Insurance AGENDA ITEM WORDING: Approval to continue dental and vision coverage through American General, with staff to complete any forms necessary to do so. ITEM BACKGROUND: BOCC approved the administrations recommendation on April 17, 2003 to make dental and vision benefits available to employees through a third party at a savings of $920,000.00 to the Group Insurance Pro 2ram. PREVIOUS RELEVANT BOCC ACTION: BOCC approved completion of application for voluntary dental and vision benefits through American General, with guaranteed rates for 2 years, effective January 1, 2004 at the October 15, 2003 commission meeting. CONTRACT/AGREEMENT CHANGES: Renewal rates slightly higher, see attached renewal rates. Recommend approval of one year rate renewal on both dental and vision coverage. STAFF RECOMMENDATIONS: Approval TOTAL COST: None COST TO COUNTY:- None BUDGETED: Yes No SOURCE OF FUNDS: REVENUE PRODUCING: Yes No AMOUNT P "i MONTH Year 11 ", - APPROVED BY: County Atty, OMB/Purchasin Risk Management DIVISION DIRECTOR APPROVAL: Teresa E. Aguiar DOCUMENTATION: DISPOSITION: Division Director Employee Services Included X To Follow- Not Required AGENDA ITEM # Revised 1103 October 28, 2005 Mrs. Maria Z. Fernandez Group Insurance Administrator Monroe County Board of County Commissioners 1100 Simonton St., Room 2-268 hey West, FL 33040 Re: Renewal Notice January 1, 2006 — Revised 2 Group Insurance Policy G245196 & V245151 Group Name Monroe County Board of County Commissioners Dear Maria: Thank you for your continued business! Our underwriters have carefully reviewed the demographics of your employee group since the inception of coverage, the claims experience for your group over that same time period and the claims experience for all groups with similar coverage and demographics. Based on our evaluation of this information, the following renewal rates will become effective January 1, 2006. G245196 Coverage Existing Rate Renewal Rate Rate basis # Lives DENTAL $25.98 $29.56 Employee 627 $50.35 $57.28 Employee & Spouse 141 $54.33 $61.81 Employee & Child ren 76 $78.70 $89.53 Family 72 V245151 Coverage Existing Rate Renewal Rate Rate basis # Lives VISION $ 4.70 $ 4.70 Employee 627 $ 9.10 $ 9.10 Employee & Spouse 141 $ 9.50 $ 9.50 Employee & Child ren 76 $15.10 $15.10 Family 72 We are able to offer a two year rate guarantee for the dental coverage. The rates for a two year rate guarantee is outlined in the exhibit below: G245196 Coverage Existing Rate Renewal Rate Rate basis # Lives DENTAL $25.98 $31.42 Em to ee 627 $50.35 $60.90 Employee & Spouse 141 $54.33 $65,71 Employee & Child ren 76 $78.70 $95.19 Family 72 American General Life Companies Group Benefits and Financial Institutions Distributing products issued by: AIG Life Insurance Company, American International Life Assurance Company ofNew York, American General Assurance Company, American General Indemnity Company, American General Life hrsurance Company, Delaware American Life Insurance Company', The United States Life Insurance Company in the City of New York Member companies ofAmeriean International Group, Inc. 3600 Route 66 • Neptune, NJ 07753 •732.922.7000 • www.AIGemployeebenefits.com This company does not solicit business in New York. 06675006-1106 R02/05 AMER€CAN GENERAL October 28, 2005 Page two As you know, we are moving your vision plan to our new network, EyeMed, effective November 1,2005. I know you and your employees will enjoy working with the new network.. I have started the paperwork to make the change and it is in the process of being completed for November 1st.. lam expediting the process and hope to have the III cards to the employees as close to November lst as possible. As your dedicated Client Manager, you can look to me to assist you with any questions or concerns you may have about your group insurance, including: • Renewal of your current plan • Service assistance (benefits, billing, claims, policies and procedures) • Supplies, marketing communications and brochures, certificates • Enrollment meetings • New lines of coverage For more information or if you have any questions about your group insurance plan, please feel free to contact me. Thank you. Sincerely, Barbara M. Elvey, HIA Client Manager Phone: 800 342-2007 X3 E-mail: barbara.elvey@aig.com T. cc: Emilio Monte HealthSpectrum _..:! 1 '#' Jr American General Life Companies Group Benefits and Financial Institutions Distributing products issued by: AIG Life Insurance Company, American International Life Assurance Company of New York, American General Assurance Company, American General Indemnity Company, American General Life Insurance Company, Delaware American Life Insurance Company, The United States Life Insurance Company in the City of New York Member companies ojAmerican International Group, Inc. 3600 Route 66 • Neptune, NJ 07753 •732.922.7000 • www.AlGemployeebenefits.com This company does not solicit business in New York.