R-2013-117-2013-07-22RESOLUTION NO. R2013-117
A RESOLUTION OF THE CITY COUNCIL FO THE CITY OF PEARLAND,
APPROVING EMPLOYEE ANCILLARY BENEFITS FOR BASIC LIFE
INSURANCE, ACCIDENTAL DEATH AND DISMEMBERMENT, AND LONG
TERM DISABILITY.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS:
Section 1. That the City of Pearland has received bids for employee ancillary
benefits, attached hereto as Exhibit "A", and such rates have been evaluated.
Section 2. That the City Council hereby adopts the ancillary employee benefit
package offered by Lincoln Financial in the amount described in exhibit "A", attached
hereto and incorporated for all purposes.
PASSED, APPROVED and ADOPTED this the 22nd day of July, A.D., 2013.
DC/)11) WEA -I
TOM REID
MAYOR
ATTEST:
APPROVED AS TO FORM:
DARRIN M. COKER
CITY ATTORNEY
CLIENT NAME
Basic Life and AD+D Benefit Summay
SOLD
___._.__... _ASIC LIPE.BLNEE II' ♦.u. I d.
(i,„„i,
N11,1 I ,1.
1
Class 1: Employees earning 550,000 or less
annually
Class 11: All other employes
x100 - IpIl u,
I'n,l,„„1-Ill\!1,1111lIF I1
Class 1: Employes raining 550,000 or less annual)
Class 11: All other Employees
1 Inn.I u- 0,111,1r1
I'111\11,011xIt11
Class 1: Fnlployees earning 550,00 or less annually
Class 11: All other Employes
(,z,., -11
Clam 1: Employes earning 550,000 or less annually
Class II: All other Employees
q,no„
I1"•,+i 111\11.1111x111,
('lass L Employees naming 5509)0 or less annually
Class 1: All oche Employees
Class I: Employes earning 530,000 or less amuall
Class II: All other employe.
Class 1: Employees earning 650,000 or less
annually
_,.. (-lass l5)oorlphon Class II: All other employe.
120) (,ono) I -:anon);. Basic Annual Earnings
Basic Annual Earnings
Flexible to Group Standards
_
Baste Alma) Earnings
Basic Annual Earnings
Basic Annual Earnings
Basic Annual Famine
Class I: 550.000
Bash. 1.. 0v tich,lolc Class ll: Ix BAE to 5)50000
C1.1:39/,00
('lass B: Ix BAE to 5150,000
Class 0 650.1070
Class 11: Ix 13AE105175,90)
— (alass I: 550,50
Class ll. Ix BAE to 0175000
('lass L 550,000
Class 11. Ir BAE to 5173 000
(-lass 1: 550,000
('lues ll: I x RAE to 0175.)0
Class L 550.000
Class 11 lx 13AE. to 51'5.00
Alnx,nmm Btnclit 150.000.10
15000.00
Class I: 550,000
Class It 5175,09)
Class 1: 5504)
Class 8: 5175.000
('lass 1:550,000
('lass IL 5175,000
Class 1: 59/.000
('las 11:517500
Class 1:550,0)
1.. 11: 175 000
Class 1: 550.000
Omnibus. Lvov A na 4001 Claws ll: I BAE to 5)50,00)
Class I: 550.000
('lass ll: Ix BAE to S150,000
Class L 550.000
Class B: 10 BAE to 5175,0)
Class I: 550,000
Class ll: lx BAE to 5175,000
Class L 550,000
Cass ll: Ix BAE to 5175,(00)
Class L 55000
Class B: 1 x BAE to 5175,00
Class I: 5504300
Class B: Ix BAE to 5175,000
,,._... A cc Radio: lon Sch,luk to65%at65; to50%at70
to 65% at 65;to 5010 at 70
10 65% at65;1050%at70_
to 65%at65; to 50%a170
to 65°, at 65; low%a170
to 65', at 65. to 50% at 71
to65%at6i. to 50%at70
1xnmiak:s a1 Rxdircmcnl Yes
Yes
Yes
Yes
Ys
Yes
Yes
Waiver of P000,1,ul _ Included/ Employee only
Included/ Employee only
Included after 9 months of employment
Incl Empoyee only; disabled prior to age 60; 6
month FP; to SSNRA
Included, Employee ()ply
Included
Included/ Employmonly
Accelerates.) D.1111 Beoc6l 75% of Life Benefit to S5()0,000
75% of life Benefit to 5500,000
Class 1: 751010$50.000
Class II: 75% to 5175,000
75°0 of Benefit to 5500,000
75°0 of life Benefit to 65).05)
75% of life Benefit up to 5500,000
75%ot'Life Bewill to 55011,00
..___ Coriver on Included
Included
Inc1u.1x1
Included
Included
Included
Included
P0,150lily Included
Included
Included
Included
Included
Included
Included
Spmesc ).ifs 10v,m,) 55,000.00
55,000.00
85.00.0)
55,00.00
55,00.5)
Flat S2 00
Class 1: Employes earning 550.0) or less annually
Class 11: All other employes
Flat 35,00
Chi ren : Flet 42,000/ Inflame Flat 5500
Class I: Employees earning 59.1.0) or less annually
Class 11: All other employee's
Under Voluntary Plan
C10k1400o) Lttc Animal Flat S' 010
IIAIilf.A:0BD BENE. 11 )'
Class I: Employees earning 65(1,0) or 1es1
annually
Clap's Dimeription Class II: All other employee.'
Rat 52 000
Class 1: Employees earning 150,000 or less
annually
Class 11: All other employees
14 days to 6 months- 5500
6 months 1025 e - 52.500)
Class ): employes earning 550,00 or less annually
Class II: All other employees
2 )11)
Class I: Employees earning 050,010 or less annually
Class 8: A)1 other Employees
Under Volum Plan
Class L Employees earning 550.00 or eu amualI
Chide II: All 01115)050005,000
_ .. Definition of Earnings Basic Annual Earnings
Basic Annual Earnings
Flexible to Group Standouts
Base Arcual Earnings
Basic Arcual turnings
Basic Arcual Earnings
Basic Arcual Fallings
Clam I: 550,000
B.eIC ADAD Schedule Class II: Ix BAE to 5150,00
Class I: 530,000
Class IL Ix BAE to 5150,000
Class I: 550,000
Class B: Ix BAE to 5175,50
Class I: 550.00
Class ll: Ix BAE to 5175)00
Class 1: 550,000
Class II: Ix BAE 105175,50
Class L 550.00
('lass II: I it BAE to 5175,00
Class 1: 550.50
Class It Ix BAE to 5175.000
Atixinlunl Benefit . 5)50,00
515)1,000
class 1: 550,000
Class I1: 5175.01)
class I: 550,00
Class 8: 5175.00
Class 1: %w.BBo
Class IL 5175,00
class I: 550.00)
Class II: 5175,000
class I: 550,000
Class 11: 5175,00
Applies 10Strnn01.11111.11,1 Yes
Yes
No
Yes
Yes
yes
No. we are willing to provide a quote for Voluntary
Family AD&D
Ago Reduction S11a101e to65%at65; to50%at70
to 654, at 65; to 5040 at 70
to65%at65:6150%at70
1065%at65: to50%at70
to 65% at 65; low%1070
to 65% at 65; to 50% at70
to65%at65;to 5044 at 70
Basilic. Travel Lesser of 25% or 125,00
Lesser of 25% or 5254090
Can Mali, with Rider
Not Included
Included - Segue Tinsel
lesser of 5% of Benefit or Incurred Expenses or
52500
Included -2_%1012.010
Not Included
Lesser of 5% of Benefit or Incurred Expenses or
Education 02,500
Lesser of 5% of Benefit or Incurred Expanse or
02,500
5% of Benefit to 55,000 a year for up to 4 years
5% of benefit to 52,500 per year for up to 4 years
Child Only
Included - 5101053.00 per year for 4 years
1.00)010025%6 or 025,000
Sunbelt Lesser of 25% of Benefit or 325000
losg.r of 25°, ofBelefat or 325,50
10% of Benefit to 525,000
Lesser of 25% of Benefit or 525.50
Lasser of 25% of Be fit or 525,007
Included -10%1052_5,000
Lesser of 51, of Brne0t or Incurred Expenses or
62,500
Airbag Lo.x of 1040 of Benefit or $5,000
Lesser of 10% of Benefit or 55)00
1(110 of Benefit to 525,000
Lesser 0010°0 ofBenetit or 510,00)
fossa of 1010 of1enelit or 55,00
Included -I5%10540,50
Leser of'_5°, of Benefit or $25,000
Borcovonao8 Com,seling Included
_.. FINANCIAL”
Volume 530,639.2)
Included
530.689.10
NM Included
530.704,200
Included with Li010,.
613,504,201
Included
530,623,050
Included
530,704,20)
Lesser of)0%o0Beletit or 55,00
S'+),7)14.210)
EE Rale Iyer SLOW) - Life 80.103
50.103
50.090
50075
50.090
50.080
50.113
EE Rale fuer $1.5011 -ABM) 50029
6(1029
50.020
50.020
10.029
50.01)
50.020
Stouthls Premium 54.051
04.051
53.377
52.917
53.644
53.070
53.777
,Vanua) Premium 648,612
548.612
540,530
535.003
543.770
136,845
545 319
$ Change from Current n a
w
(68 082
(513.009
-4,
-11 '67
-'42'.
546
, _.-
h8°
546
%Changefrom Current n
Numberof Employee 541,
Ill".
546
-1 ..-°
546
-_ (..
546
-1 ago
546
Empk,vcr C'oninbmion lug°°
100%
100%
10046
100S,
100%
10',
Participation Re4uir 10,70 10010
l00%
1)%
1)%
100%
15)76
100%
Actively at Work Not Wai3O)
Not Waived
Not Waived
Not Waived
Not Waived
Waived 101 /)pias) transition
Waived
Ellictive Dale n a
10/12013
10/1/2013
10/1/2013
10/1/2013
10/1/2013
11/1/2013
Rate G,iarmnev
2 Yens
3 Years
3 yeas
3 5,1111,
3 Years
3 yeah
06) Beit Raton. 1»
A+
A+
A+
A
A
A
nef summary and not inlendd to be
a contract.
SOU
LfDBENI?FIfS Sunl,ilc
Current
Sim Life
Current
All FTE working 30+ hours per
week
MOO - Option .--
Proposed - RENEGOTIATED
Lincoln Financial - Option ----_...
Pro ised-RENEGOTIATED
Cigna- Option
Proposed
All FTE working 40+ hours per
week
INC - Option
Proposed
All FTE working 30+ hours per
week
Aetna -Option
Proposed
All FTE working 30+ hours per
Class Description week
_
All Eli_ible Em.lo ees
All 11 E working 40+ hours per
week
All FTE working 40+ hours per
week
Definition of Earnings BAE
BAE
Flexible to Em.lo er
BAE
BAE
BAE plus deferred com.ensation
BAE
Monthly Percentage 50%
50%
50%
50% (+10% PIB) = 60% Total
50%
50%
50%
Monthly Maximum $5,000
$5,000
$6,000
$6,000
$6,000
$6,000
$6,000
Guarantee issue $5,000
$5,000
$6,000
$6,000
$6,000
$6,000
$6,000
Minimum Benefit 10% or $100
10% or $100
10% or $100
10% or $100
10% or $100
$100
10% or $100
Elimination Period 90 Day
90 Day
90 Day
90 Day
90 Day
Greater of 90 Days or end of
accumulated sick leave
90 Da
Maximum Benefit Duration SSNRA to RBD
SSNRA to RBD
SSNRA
Latter of ate 65 or SSNRA
SSNRA to RBD
SSNRA
SSNRA to RBD
Definition of Own Occ/Any Occ 2 Year Own Occ
2 Year Own Occ
2 Year Own Occ
2 Year Own Occ
2 Year Own Occ
2 Year Own Occ
2 Year Own Occ
Residua.Panial Zero Da Residual
Zero Da Residual
Zero Da Residual
Zero Da Residual
Zero Da Residual
Residual
Zero Da Residual
Social Securry Integration Full Family
Full Family
Full family
Full Family
Full Family
Primary/ Family
Full Family
Loss of Earning AND Loss of
Earnin s "Pest Duties
g 20% Loss - Own Occ
50% Loss - Any Gainful Occ
Loss of Earning AND Loss of
Duties
20% Loss - Own Occ
50% Loss - Any Gainful Occ
Loss of Earning AND Loss of
Duties
I% Loss - Own Occ
15% Loss - Any Gainful Occ
Loss of Duties Only
*No earnings test during the EP*
1% Loss - Own OCC
15% Loss - Any Gainful Occ
Loss of Earning AND Loss of
Duties
20% Loss - Own Occ
50% Loss - Any Gainful Occ
Loss of Earning AND Loss of
Duties
20% Loss - Own Occ
50% Loss - Any Gainful Occ
Loss of Earning AND Loss of
Duties
20% Loss - Own Occ
50% Loss - Any Gainful Occ
Survivor Benefit 3 Month Lum. Sum
Pre-existing limitations 3/12
Mental/Nervous limits 24 Months per Disability
Drug & Alcohol Limits 24 Months .er Disabilit
Self-reported Limitations 2 Year Per Disability
3 Month Lum. Sum
3 Month Lum. Sum
3 Month Lum. Sum
3 Month Lum. Sum
3 Month Lum. Sum
3 Month Lum. Sum
3/12
3/12
3/12
3/12
3/12
3/12
24 Months per Disability
24 Months per Lifetime
24 Months per Disability
24 Months per Disability
24 Months .er Disability
24 Months per Disability
24 Months per Disability
24 Months . - Lifetime
24 Months . -r Disabili
24 Months . -r Disabili
24 Months .er Disabilit
24 Months .er Disabilit
2 Year Per Disability
24 Months per Lifetime
2 Year Per Disability
2 Year Per Disability
2 Year Per Disability
2 Year for Chronic Fatigue
Syndrome
Mandatory Rehab Included
Family Care Benefit Not Included
Work Incentive Included
LTC Benefit Provision Not Included
EAP Program Not Included
Included
Not Included
Included- 5% Incentive
Included
Included
Included
Included
Not Included
$250
Not Included
Not Included
Not Included
Included
Included - Unlimited
Included
Included
Included
Included
Not Included
Not Included
Not Included
Not Included
Not Included
Not Included
Not Included
Not Included
Included - EmployeeConnect
Not Included
Not Included
Included
Taxable Benefit Yes
FICA Match Not Included
W2 Preparation Included
FINANCIALS
Covered Payroll $2,148,362
Yes
Yes
Yes
Yes
Yes
Yes
Not Included
Included
Included
Not Included
Not Included
Included
Included
Included
Included
Included
Included
Included
$2,148,362
$2,153,170
$2,153,170
$2,153,170
$2,153,170
$2,153,170
Rate (per $100) $0.175
Monthly Premium $3,760
Annual Premium $45,116
$0.175
$0.135
$0.130
$0.175
$0.205
$0.218
$3,760
$2,907
$2,799
$3,768
$4,414
$4,694
$45,116
$34,881
$33,589
$45,217
$52,968
$56,327
$ Change from Current
$0
$10,234
(511,526
$101
$7,852
$11,211
% Change from Current
Number of Employees 540
Actively at Work
Effective Date
0.0%
540
-22.7%
540
-25.5%
540
0.2%
540
17.4%
540
24.9%
540
Not Waived
Not Waived
Not Waived
Waived for intitial transition
Not Waived
10/1/2013
10/1/2013
10/1/2013
10/1/2013
10/1/2013
10/1/2013
Rate Guarantee
2 Year
3 Year
3 Year
3 Year
3 Year
3 Year
AM Best Rating A+
A+
A+
A+
A
A
A