HomeMy WebLinkAboutMINUTES - 11141989 - 1.37 .TO: BOARD OF SUPERVISORS r 3�
FRO M: Harry 0. Cisterman, Director of Personnel Contra
Costa
DATE: November 15, 1989 County
SUBJECT: lst Choice Health Plan - Stop Loss Insurance
SPECIFIC REQUEST(S) OR RECOMMENDATION(S) & BACKGROUND AND JUSTIFICATION
RECOMMENDATION
Authorize the County Administrator/Director of Personnel to enter into
a contract for the purchase of stop loss insurance coverage for the County's
self-funded health plan, 1st Choice, in a substantially similar form to, the
attached contract with The Hartford Life and Accident Insurance Company, at
rates not to exceed those referenced below on behalf of the County and its spe-
cial districts. The stop loss coverage will be retroactively effective November
1 , 1989.
Upon execution of a contract the County Auditor-Controller is
authorized to issue a warrant immediately to the insurance company in the amount
not to exceed $33,812, as the November 1st premium payment.
FINANCIAL IMPACT
The stop loss monthly . premium rate is $8.66 per employee participant
and $16.24 per dependent unit. , The amount needed for this fiscal year is
approximately $270,500. A $200,000 appropriation has already been approved.
The remaining premium amount will be taken from the 1st Choice Health Plan
reserve fund.
In the event HEALS is cancelled, an additional appropriation will be required to
fund the stop loss premium expense for those HEALS members converting to the
1st Choice Health Plan.
BACKGROUND
The Board of Supervisors under Board Resolution #87/760 approved the
implementation of the County self-funded health plan 1st Choice. In con-
sideration of the fiscal implications of insuring a self-funded health plan, the
Board of Supervisors directed the County Administrator/Director of Personnel to
investigate the need for the purchase of stop loss coverage. The investigation
resulted in a determination that stop loss insurance coverage is fiscally
appropriate. This Board Order is necessary to provide that coverage.
i
i 14:BOSTOPLOSS
CONTINUED ON ATTACHMENT: YES SIGNATURE:
i RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
APPROVE OTHER
SIGNATURE(S)
ACTION OF BOARb ON APPROVED AS RECOMMENDED OTHER
VOTE OF SUPERVISORS
X_ UNANIMOUS (ABSENT ) I HEREBY CERTIFY THAT THIS IS A TRUE
AYES: NOES: AND CORRECT COPY OF AN ACTION TAKEN
ABSENT: ABSTAIN: AND ENTERED ON THE MINUTES OF THE BOARD
O
Originating Department: Personnel F SUPERVISORS ON THE DATE SHOWN.
cc: Auditor-Controller's OfficeATTESTED NOV 14 1989
_
County Administrator's Office Phi! Batche;or, Cterk of the Board(,f
County Counsel Supervisors and County Admin:st.atcJ
M382/7-83 BY V DEPUTY