Title
Consider and take action on a resolution approving the employee insurance benefits program for the period of October 1, 2016 to September 30, 2017 and authorizing agreements with 1) Cigna Health and Life Insurance Company for administrative services related to employee health insurance, 2) Aetna for employee dental insurance and 3) Deer Oaks for administrative services related to the Employee Assistance Program (Director of Human Resources and Civil Service)
Background:
Approval of this item will approve the employee insurance benefit program for the October 1, 2016 through September 30, 2017 plan year; as presented at the City Council special work session on August 2, 2016.
The City’s current health insurance contract expires on September 30, 2016. Staff reviewed the existing insurance program with IPS Advisors (benefits consultant for the City) with the following goals in mind: to continue programs at or above benchmarks provided by similar employers, maintain funding levels (both from the City and from the participants) matching benchmarks, provide program choices for employees and to promote healthy choices for participants. Both fully insured and partially self-funded health insurance plans would be considered. After meeting with the City Council on June 7 and reviewing these goals, the City conducted a request for proposals (RFP) for all elements of the benefit program. Proposals were received on July 8.
IPS evaluated responses from two, fully funded and four, partially self-funded health insurance plans. At the August 2 City Council work shop, staff and IPS reviewed the results and presented best and final proposals from “Boon-Chapman (Incumbent - partially self-funded), Blue Cross Blue Shield of Texas (partially self-funded), Cigna (partially self-funded) and Texas Municipal League (TML- partially self-funded). All of the 12 month plans have similar benefit levels as the current plan and costs range from below current plan costs to ...
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