08-23-1988 BOMMINUTES
BID OPENING
TUESDAY, AUGUST 23, 1988
City Administrator Gary D. Plotz called the bid opening to order at 2:00 P.M.
Also present were Finance Director Kenneth B. Merrill, Consultant lurk Flaten
and Administrative Secretary Marilyn Swanson.
The reading of Publication No. 3902, Advertisement for Bids, Group Health And
Life Insurance Proposals And Long Term Disability Proposal, was dispensed with.
Multiple combinations of insurance proposals were opened and read. The bidders
were as follow:
LONG TERX DISABILITY
Bids were received from National Services and Insurance Planners for E & 0
Insurance. See attached sheet for breakdown.I
LIFE INSURANCE/AD&D
Bids were received from Bob Martin & Associates, Insurance Planners for E & 0
Insurance, Minnesota Mutual and M.I.I. See attached sheet for
breakdown.I
HEALTH INSURANCE
Insurance Planners submitted a bid from Blue Cross/Blue Shield which contained
an estimated 50 combinations of insurance proposals. See attached sheet for
breakdown.I
The bids were referred to the City's insurance consultant, Mark Flaten, for re-
view and a recommendation to the City Council.
The meeting adjourned at 2:25 P.M.
IThe attachements are the comparisons of bids that met the specifications as
being closely equivalent to the current coverages.
C� A
City of Hutchinson
88.08-29
School
School
Mutual
!ns Fund
Ins Fund
Benefit
LTD Proposals
INCUMBENT
Rate/5100 Law Enforcement:
0.67
0.60
0.61
Rate/S100 Non -Law Enforcement:
0.39
0.35
0.61
Rate Guarantee:
One Year
Two Year
Two Year
Benefit Level (%):
60%
60X
60%
Maximum Covered Salary:
30,000
55.000
100,000
Maximum Monthly Benefit:
1,500
2,750
5,000
Elimination Period:
6 Months
6 Months
6 Months
Own Occupation Tast:
24 Months
24 Months
Age 65 for ;,S30,000
36 No for 430,000
Earnings Test:
None
Non@
M
Indexing:
7.5%
Social Security Integration:
Full Family
Full Family
Full Family
Cost of Living Adjustment:
if 3% then CPi
If 3% then CPi
3%
Duration:
20% Max
20% Max
Unlimited
Residual Benefit:
None
None
Yes
Conversion Privledge:
None
None
Yes
Pre -Existing Limitations:
None
None
3/3/12
N/A for Existing EE
Mental, Emotional � Chemical
-
Disorders:
unlimited
Unlimited
24 Months
Monthly Covered salary;
Lew Enforcement:
41,667
41,667
151,286
Non -Law Enforcement:
109,619
109,619
Monthly Cost.
5707
$634
$923
88.08-29
City of Hutchinson
Life Insurance Proposals
88-08-
INCUMBENT
Subject of Coverage
MML
MMt
Mil
MIi
GroupAwrice
Continental
Entities Covered:'
City
City
City
City
City
City
B.M.
B.N.
B.N.
HCH
HCH
NCH
Dividend Provision:
Yes
Yes
No
No
No
No
Rate Guarantee:
1 Year
1 Year
1 Year
i Year
2 Years
2 Years
Life - Nuttipte
1 x
1 x
1 x
2 x
l x
1 x
Volume:
1,857,000
1,860,000
5,413,000
10,826,000
1,857,000
6,478,500
Rate/Mo:
0.270
0.270
0.190
0.170
0.270
0.150
Monthly Cost:
501
502
1,028
1,840
S01
972
AD80 - Multiple
1 x
1 x
1 x
2 x
1 x
1 x
Volume:
1,857,000
1,860,000
5,413,000
10,826,000
1,857,000
6,478,500
Rata/":
0.040
0.040
0.050
0.050
0.060
0.030
Monthly Cost:
74
74
271
54L1
111
194
lotat Monthly Cost:
576
577
1,299
2,382
613
1,166
88-08-
City of Hutchinson
City Hospital Total
Single 10 116 126
Family 72 48 120
------------------------ -------SELF INSURED---- --•-----------------------) �----------------FULLY INSURED-----------------�
AWARE AWARE Well -
Select Preferred AWARE Gold* CMM CMM CMM CMM AWARE Gold Preferred ness CMM
PNP Care* Gold* Gold' W/Co-Pay 100* 200* 300* 500* Gold W/Co-Pay Gold 80 500
Fixed Costs:
Single 21.48 24.39 22.04 21.3 21.19 20.77 20.45 19.90
Family 40.34 61.64 52.11 50.42 49.69 48.73 48.00 46.73
Full Rates a Expected:
Single 103.23 100.87 93.20 110.15 101.14 88.15 83.14 79.40 72.85 131.75 119.45 112.89 97.96 87.81
Family 249.4 228 221.93 257.69 237.24 202.88 191.41 182.84 167.75 312.71 284.35 268.11 232.83 205.40
Total Expected
Costs: 515,263 482,031 460,498 537,620 494,549 425,430 401,338 383,342 351,709 649,508 590,072 556,768 483,391 428,545
Full Rates 2 Maximum:
Single 103.23 120.72 110.40 132.18 121.10 104.89 98.74 94.13 86.09 131.75 119.45 112.89 97.96 87.81
Family 249.43 275.95 262.00 309.09 283.95 241.17 227.08 216.54 198.01 312.71 284.35 268.11 232.83 205.40
Max i msa
Liability: 515,263 579,897 544,205 644,946 591,991 505,878 476,290 454,142 415,302 649,508 590,072 556,768 483,391 428,545
* Claim Lag Not Recognized (Est 20%)
88-08-26