DEPARTMENT: Human Resources
FILE TYPE: Consent Action
TITLE
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Authorization To Approve Vendors And Rates For 2027 Group Short-term Disability, Long-Term Disability, Life Insurance, Family And Medical Leave Act, And Vision
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RESOLUTION
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WHEREAS, Minn. Stat. ยง 471.6161 requires public sector employers to request proposals for group insurance plans; and
WHEREAS, proposals were received from three carriers for group life insurance, Family and Medical Leave Act (FMLA) administration, and Short and Long-term Disability benefits; and
WHEREAS, proposals were received from five carriers for group vision insurance; and
WHEREAS, together with Deloitte Consulting, staff have reviewed the proposals received and related financial implications of each proposal; and
WHEREAS, Standard Insurance Company offers a 36.8% premium reduction in County paid basic life insurance benefits and held current employee-paid voluntary supplemental life insurance rates with a three-year rate guarantee; and
WHEREAS, Standard Insurance Company offers an 18.4% premium reduction, and rates are guaranteed for three years for the employee-paid Long-term Disability Plan; and
WHEREAS, staff recommend continuing to contract with Standard Insurance Company to administer the FMLA administration, employee paid Short-Term Disability, Long- Term Disability; and
WHEREAS, Standard Insurance Company offers a three-year rate guarantee holding current rates for county paid FMLA and Short-Term Disability administration; and
WHEREAS, Deloitte consulting performed an actuarial valuation of the Short-Term Disability reserves vs. claims and is recommending holding current rates for the employee paid Short-Term Disability premiums into 2027; and
WHEREAS, staff recommend continuing to contract with VSP Vision Care to administer the employee paid vision benefit; and
WHEREAS, VSP Vision Care offers a five-year rate guarantee holding current rates until December 31, 2030.
NOW, THEREFORE, BE IT RES...
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