FY2004 09/17/2003
June 9, 2003
Mr. Rick Capizzi
Arthur Gallagher & Company
One Boca Place
2255 Glades Road, Suite 400E
Boca Raton, FL 33431
Hartford Life
Subject:
Monroe County Board of County Commissioners, Group #303613
1 % 1/2003 Renewal Evaluation
Underwriting has completed the renewal evaluation for the above in-force account for the upcoming
10/1/03 rate change date. We currently underwrite their Basic Life, and AD&D coverage. Below we have
outlined the financial results to date, the in-force plan designs, and the renewal decisions regarding this
account.
Benefits
Class 1: AFT EES
Class 2: Retirees
Benefit Flat $20,000
Benefit Maximum $20,000
Guarantee Issue Amount $20,000
Cutback Schedule Class 1: 35% @ age 70, 50% @ age 75
Class 2: By 50% @ age 70
Disabilitv Provision PW60
Livina Benefits 12 months
Contributions Emolover Paid
Commission Schedule 10%
Fundina method Fullv Insured / Non Par
Evaluation
The financial results for the period 9/99 - 2/28/03 are as follows:
Billed Premium $501,827
Common Premium $501,827
Paid Claims $349,645
IBNR $33,757
Incurred Claims $383,402
Incurred Loss Ratio 76.4%
Desired Loss Ratio 82.5%
Volume $31,664,400
Lives 1,643
Credibilitv 60%
In Force Rate .39/$1,000
EXDerience Rate .361$1,000
Manual Rate .535/$1,000
Formula Rate .43/$1,000
% Chanae Needed 10.3%
Tampa Group Sales
500 N. Westshore Blvd., Suite 760
Tampa, FL 33609
Telephone 813 2897565
Toll Free 800 249 7184
Facsimile 813 289 6247
Renewal Action
The Basic Life experience has spiked since the last renewal. The paid loss ratio for the 6-month period is
152% and there were 7 new claims. With a formula rate of $.43, the current pricing is within 91 % of
needed. Therefore we have decided to maintain the current Basic Life rate for 1 year. However, if the
current claims trend continues, the rate will need to be increased.
Basic Life
AD&D
Current Rate
$.39 /1000
$.02/1000
Renewal Rate
$.39/1000
$.02 /1000
%Chanqe
0%
0%
Volume
$31,664,400
$27,694,400
Monthlv Premium
$12,349.12
$553.89
If you have any questions or if you need any additional information, please do not hesitate to call me at
800-249-7184, ext. 5595.
Sincerely,
M ~
Mary ~y
Account Manager
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MONROE COUNTY BOARD OF COUNTY COMMISSIONERS
Administrative Services Department.. Group Insurance Office
1100 Simonton Street, Room 2-268; Key West, Florida 33040
Courier Stop # 1, Gato Building
Phone: (305) 292-4448 Fax: (305) 292-4452
,....",,-- MEMORANDUM------
TO:
FROM:
Isabelle Disantis, Office of Clerk of Courts
Maria Z. Fernandez, Group Insurance A
DATE:
september 22, 2003
RE:
Renewal The Hartford Life Insurance policy FY 03-04
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~-
At the Monroe county BOCC meeting of september 17,2003 the policy renewal
with The Hartford Life Insurance Company for FY 2003-2004 was approved.
Enclosed please find a copy for your records.
If you have any Questions please feel free to contact me at ext. 4448.
CC: Finance Department
Gallagher Benefit Services, Inc.
A Subsidiary of Arthur J. Gallagher & Co.
July 2,2003
Ms. Maria Fernandez
Monroe County BOCC
The Historic Gato Cigar Factory
1100 Simonton Street
Room 2-268
Key West, FL 33040
Re: Hartford Life Renewal Effective 10/0112003
Dear Maria,
Enclosed please find the renewal for your Basic Life and AD&D coverage. We are
pleased to notify you that your rates remain unchanged for the new policy year.
I believe you discussed the renewal with Rick yesterday, however, if you have any
questions about the renewal please feel free to call us.
Have a good summer!
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Mary Kay Lantz
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Enclosure
One Boca Place
2255 Glades Road, Suite 400 E
Boca Raton, FL 33431
561.995.6706
Fax 561.995,6708
www.ajg.com
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