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09/10/2019 (2)
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09/10/2019 (2)
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1/7/2020 12:12:44 PM
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Meetings
Meeting Type
BCC Regular Meeting
Document Type
Agenda Packet
Meeting Date
09/10/2019
Meeting Body
Board of County Commissioners
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would not outweigh the increase in the deductibles that the County would likely be required to <br />pay based on projected claims experience. <br />After analysis of the proposals and the projected claims experience, Lockton is recommending <br />we renew with the current specific deductible of $300,000 and aggregate specific deductible of <br />$100,000. The premium for this policy is estimated at $813,674 annually, which is an increase of <br />$178,528 or 28.1% above our current premium. <br />Although this is a substantial increase from our current premium, it is below average stop loss <br />benchmarking under Lockton's book of business. Under the Florida Blue renewal, the monthly <br />specific premiums rate is $38.88 and the average rate for Lockton's book of business is $42.04 <br />for a stop loss policy, with a specific deductible of $300,000. The.total monthly composite and <br />aggregate rate under the renewal is $40.70 per member per month. <br />Under this renewal, there is no laser and there is no commission paid. <br />FUNDING <br />Funding for the annual stop loss insurance premiums of $813,674 are included in the health <br />insurance fund. <br />RECOMMENDATION: <br />Staff recommends and respectfully requests that the Board approve Renewal Option 1 with <br />Florida Blue for the County's excess loss/reinsurance policy for plan year 2019/2020 and <br />authorize the Chairman to execute the renewal agreement. <br />ATTACHMENTS: <br />Indian River County Self -Funded Reinsurance Renewal 2019/20 <br />Lockton Companies Marketing Analysis and Monte Carlo Modeler <br />191 <br />
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