Title
Resolution to Approve Contract with Unum Life Insurance Company of America, Inc. to Provide Group Term Life, Accidental Death and Dismemberment, Short-Term Disability, and Long-Term Disability Insurance Coverage to City Employees and/or their Dependents ($630,000)
Memorandum
The attached Resolution authorizes a contract for group term life, accidental death and dismemberment, short-term disability, and long term disability coverage with our group insurance provider, Unum covering the term July 1, 2015 through December 31, 2016.
Budget/Fiscal Impact: The necessary funds were appropriated as part of the FY16 approved budget through June 30, 2016. Required funding for the portion of the contract term from July 1, 2016 through December 31, 2016 will be budgeted in the FY17 budget. The estimated annual cost of this employee benefit is $420,000.
The requested approval is for an 18-month contract with our service provider. The contract for this Plan is transitioning from a fiscal year term to a calendar year term; which will require retroactively approval of the contract term from July 1, 2015 to December 31, 2015.
This Plan is a fully-insured program, and requires the City to pay for the total cost of basic life insurance premiums, and share with employees the cost of employee optional life insurance premiums. Employee labor contracts and employee benefit plans establish the level of life insurance, accidental death and dismemberment, and short term and long-term disability insurance coverage for City employees.
The benefit coverage levels will remain the same for the FY16 and FY17 as currently underwritten.
Staff
Prepared by: Kelly Beck, Employee Benefits Supervisor
Reviewed by: Robyn Wilkerson, Director of Human Resources and Labor Relations
Approved by: Tom Crawford, Interim City Administrator
Body
Whereas, The City provides group term life insurance coverage to City employees and their eligible dependents, optional lif...
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