HomeMy WebLinkAboutC.054.93009_0165 (2)JUK 148
10-349-65 Public School Building Capital increase 30,948
10-663-0760 Iredell Statesville/PSBC increase 30,948
VOTING: Ayes - 5; Nays - 0.
HEALTH INSDRANCH ADMINISTRATOR: Mrs. Carolyn Harris,
Personnel Director, presented this to the board. In the past
couple of years Canada Life has provided the group life insurance
policy for the county. A proposal has been received from Companion
Life Insurance Company to provide identical coverage at a lower
rate. The proposal given the county is for a two-year period and
would save the county approximately $8,800 over that two-year
period.
Companion Life is a stock company, a wholly owned subsidiary
of Blue Cross/Blue Shield of South Carolina and was founded in 1970
with operations with 37 states. They have more than $21 million in
assets and more than $4.1 billion of life insurance in force. They
have earned an A rating with Best. Mrs. Harris feels comfortable
with the company.
All full-time employees (those working twenty hours or more
per week) would have the $25,000 life insurance and AD&D. There is
also a $5,000 dependent coverage that is available for purchase by
the employee. The retirees will be able to keep a $10,000 coverage
until age 65.
Staff recommends the proposal from Companion Life to provide
this life insurance for the county staff.
MOTION from Commissioner Madison to approve Companion Life for
life insurance carrier for the county employees.
VOTING: Ayes - 5; Nays - 0.
Mrs. Harris discussed the health insurance for county
employees. Presently there is a self-funded plan which is
administered by Blue Cross. A part of the package is stop loss
insurance for specific and aggregate stop loss. Sometime ago the
NCACC contracted with Sedwick James of the Carolinas to work with
counties throughout the state to provide health insurance at lower
cost to be able to give consultant and brokerage services as needed
by the counties. The plan through the NCACC is also administered
by Blue Cross. Until this year there was no program presented that
saved money. The Association has been able to purchase reinsurance
for the stop loss insurance that has been purchased through Blue
Cross at a saving of 30%. In dollars that is $32,000 savings for
the next fiscal year.
Bruce Hill, senior consultant with Sedwick James, wrote a
letter confirming that they have the same benefits that the county
now has with Blue Cross, except for two differences: (1) A $75
deductible added to the plan that would be charged to anyone who is
covered and goes to the emergency room unless that visit is the
result of an accident or if they are not admitted when they go to
the emergency room. A lot of people are using the emergency room
as a doctor's office, and this is a punitive method of trying to
get employees to go to a physician rather than the emergency room.
(2) Under the Association plan, cost -wise doctors will be
reimbursed at 90%. Non cost -wise physicians will be reimbursed at
70%. Currently all doctors are paid at 80%. That is a cost
savings measure.
The majority of employees have cost -wise physicians, Mrs.
Harris said. There would be no administrative procedure to switch.
There would not have to be an enrollment since Blue Cross
administers both plans. Staff recommends adoption of this plan
with Sedwick James.