Resolution 078-1984
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Kermit H. Lewin
County Administrator
RESOLUTION NO. 078 -1984
RESOLUTION AUTHORIZING THE CHAIRMAN OF THE
BOARD OF COUNTY COMMISSIONERS OF MONROE
COUNTY, FLORIDA, TO EXECUTE A SERVICE
AGREEMENT BY AND BETWEEN THE BOARD OF COUNTY
COMMISSIONERS OF MONROE COUNTY, FLORIDA, AND
GALLAGHER BASSETT INSURANCE SERVICE.
BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF
MONROE COUNTY, FLORIDA, as follows:
That the Mayor and Chairman of the Board of County Commis-
sioners of Monroe County, Florida, is hereby authorized to
execute a Service Agreement by and between the Board of County
Commissioners of Monroe County, Florida, and Gallagher Bassett
Insurance Service, a copy of same being attached hereto.
PASSED AND ADOPTED by the Board of County Commissioners of
Monroe County, Florida, at a regular meeting of said Board held
on the 9th day of March, A.D. 1984.
BOARD OF CO TY COMMISSIONERS
OF MONRUE &6NTY~FLO DA
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By
Chairman
(Seal)
Attest:
DANNY L. KOLHAGE, Clerk
1 '( .N,.' . IY\. P M.J.w 1l.C
~erk I
BY
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February 6, 1984
Ms. Donna J. Perez
Board of County Commissioners
Monroe County
Wing III, Room 300, Public Service Building
Key West, FL 33040
RE: Gallagher Bassett Insurance Service
Group Health Claims Service Agreement
Dear Ms. Perez:
This will confirm our agreement to carry out the obligations of the service
organization for Board of County Commissioners - Monroe' County for the
period November 1, 1983 through October 31, 1984.
I
The service and administration will include the following:
I. GENERAL
A. Providing suitable facilities, personnel, procedures, forms and
instructions for the administration of claims under the Plan
Document.
B. Assisting in the preparation of the Plan Document and any
changes thereto.
C. Assisting in the establishment of banking facilities to handle the
flow of benefit payments.
D. Preparing the descriptive booklets and identification cards.
II. CLAIMS
A. Determining, in accordance with the Plan Document, the qualifi-
cation of claims submitted, making such investigation as may be
necessary.
B. Making payment of the amounts due employees and their depen-
dents for medical services that qualify under the Plan Document.
C. Coordinating claims where other group coverages apply to the
same claim.
D. Verifying eligibili ty and coverage for all health providers.
E. Providing advice on disputed or non-routine claims.
;Oll!cJ CSllter :~:):linc1 M(~(1tJ()wS, IllirlOIS 60008. :11 c! G.:10.85:):) . A Dr'./I:,I! l)r ;\rtriur ,I (3allagher & Co
III. ACCOUNTING AND CONTROLS
A. Providing the Employer with a monthly accounting of payments
made, with suffiCient detail to provide for the audit and control
of funds used.
B. Verifying monthly accounting of additions and deletions as
provided by the Employer with their monthly payments.
C. Claim cost control information furnished monthly and reviewed
per iodically.
D. Submission of monthly claim experience reports.
IV. ADMINISTRATION
A. Continuing supervision of benefits with annual evaluation of loss
fund and renewal requirements.
B.
Marketing and placement of stop-loss coverage on a "best
efforts" basis.
,
C. Keeping informed as to trends in the employee benefit industry.
D. Ongoing availability for consultation on any employee benefit
programs.
Gallagher Bassett Insurance Service or Arthur J. Gallagher &: Co. will not be
liable or responsible for payment of any Federal, State or Local taxes on
premiums which may be levied during the period of this agreement.
The annual service fee (exclusive of stop loss insurance charges) is
estimated to be $29,904 for the claims related services. The actual cost is
determined by the multiplication of the number of employees covered each
month times the monthly service fee rate factor. The fee is to be paid on
the basis of 1/12 each month. Based upon the number of employees (712)
covered at the time the proposal was presented, the monthly service fee
rate factor would be $3.50!employee.
In the event of cancellation of this Agreement to perform these services
with Board of County Commissioners - Monroe County, Gallagher Bassett
will continue to handle pending incurred claims on the following terms:
Gallagher Bassett Insurance Service will receive ninety percent (90%) of the
monthly fee for the first sixty (60) days of services and seventy-five percent
(75%) of the monthly fee for the next thirty (30) days; 50% for the next 30
days. After one hundred twenty (120) days, files will be returned to Board
of County Commissioners - Monroe County in an orderly manner. Board of
County Commissioners - Monroe County agrees to indemnify, protect, save
and keep harmless Gallagher Bassett Insurance Service and Arthur J.
Gallagher &: Co. from any and all loss, cost, damage, or expense arriving
out of the administration and handling of any claims after these records and
files have been returned.
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This Agreement entered on this 1st day of November between Board of
County Commissioners - Monroe County and Gallagher Bassett Insurance
Serv ice .
GALLAGHER BASSETT INSURANCE SERVICE
a division of Arthur J. Gallagher & Co.
ACCEPTED:
By
Board of County Commissioners Date
~n~O:f~
Mayor/Chairman
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By:
,
(SEAL)
Attest:
DANNY L. KOLHAGE, Clerk
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