Subject:
Title
Approval of premium rider policy with UnitedHealthcare Services, Inc. for requirements of County Employee Medical Benefits.
label
Recommended Action:
Recommended Action
Approval and execution by the County Administrator of the Premium Rider Policy (Rider), with UnitedHealthcare Services, Inc. d/b/a UnitedHealthcare (United) for County employee medical benefits.
• The first Rider (dated January 1, 2018) amended the policy to delete the then present Rider and replace it with the updated Rider to reflect revised individual excess risk premium downward from $29.40 to $27.14 and increase the individual excess risk benefit level from $500,000 to $550,000.
• The second Rider (dated January 1, 2019) amended the policy to delete the then present Rider and replace it with the updated Rider to reflect revised individual excess risk premium from $27.14 to $29.72 and maintains the individual Excess Risk Benefit Level of $550,000.
• The Board of County Commissioners (Board) ratified the County Administrator’s approval on January 10, 2017.
• On December 27, 2016 the medical benefits package, including Rider individual excess risk premium and individual excess risk benefit level policy amendment effective January 1, 2017 was approved by the County Administrator
Contract No. 156-0174-P(RW In the amount of $228,463,547.00 through December 31, 2021. This Rider has no fiscal impact pertaining to the award amount of the contract.
Body
Strategic Plan:
Create a Quality Workforce in a Positive, Supportive Organization
1.3 Make workforce safety and wellness a priority
1.4 Maintain a fair and competitive compensation package
Summary:
The changes made in 2018 and 2019 Rider policy amendments are in accordance with the terms and conditions of the contract. Individual excess risk policies renew annually as an industry standard.
The purpose of this Rider is to delete the present Rider in its entirety and replace with Rider effective January 1, 2019. It assumes the current schedule of benefits with two exceptions: (1) The individual excess risk benefit level has been increased from $500,000 to $550,000, first revised in the January 2018 rider policy amendment and unchanged in the 2019 policy amendment (2) The individual excess risk premium has been increased from $27.14 which was incorporated in the 2018 rider policy amendment to $29.72 per employee per month.
Background/Explanation:
The medical benefits package, including individual excess risk premium and excess risk benefit level rider policy amendment, was approved by the County Administrator on December 27, 2016, with ratification by the Board on January 10, 2017.
The contract addresses administrative fees, claims liability, stop loss premiums, and Medicare advantage premiums.
Fiscal Impact:
This rider has no fiscal impact pertaining to the award amount of the contract.
Approved to date expenditures not to exceed: $228,463.547.00
Funds are derived from the Human Resource Department Employee Benefits Fund.
Delegated Authority:
Authority for the County Administrator to approve and execute this Amendment is granted under Code Section 2-62 (a)(2).
Staff Member Responsible:
Holly Schoenherr, Director, Human Resources Department
Joe Lauro, Director, Purchasing Department
Partners:
N/A
Attachments:
2019 Rider Policy