KEY FOCUS AREA:
AGENDA ITEM # 10 Efficient, Effective and Economical Government
April 23, 2014
A. C. Gonzalez, 670-3302
SUBJECT Authorize the first one year extension to the contract with Standard Life Insurance Company, to provide basic and supplemental group term life, voluntary dependent life and accidental death and dismemberment insurance coverage - Not to exceed $2.00 per month per employee - Financing: Current Funds (subject to appropriations) BACKGROUND This service contract and policy will provide group basic term life, voluntary dependent life, and accidental death and dismemberment insurance. The City currently offers $50,000 basic life insurance coverage to full-time employees at a cost of $2.00 per month per employee at no cost to the employee. Full-time employees can voluntarily purchase additional group (supplemental) life coverage up to three times their annual base salary not to exceed $500,000, as well as dependent life and accidental death and dismemberment coverage via payroll deduction. The current contract with Standard Life Insurance Company will expire December 31, 2014. The basic life insurance benefit will remain in the amount of $50,000.00 for eligible employees. Voluntary dependent life insurance coverage will remain the same for spouses from $15,000 to $25,000 and dependent children from $5,000 to $10,000 at a cost of $2.85 per month to the employee. PRIOR ACTION / REVIEW (COUNCIL, BOARDS, COMMISSIONS) On November 7, 2011, the City Council authorized a thirty-six month contract, with two twelve-month renewal options, to provide group term life (basic and supplemental), voluntary dependent life, and accidental death and dismemberment insurance coverage by Resolution No. 11-3023. Briefed to the Budget, Finance and Audit Committee on April 7, 2014.