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PRM Health Trust FY 18-19GGallagher Benefit Services, Inc. July 30, 2018 India Riedel Finance Director City of Okeechobee 55 SE 3rd Avenue Okeechobee, FL 34974 Re: Group Health Rates for Plan Year 2018 - 2019 Dear India, A Subsidiary of Arthur J. Gallagher & Co. We are pleased to provide you with your Group Health Rates for the new plan year beginning October 1, 2018. The rates illustrated below represent an increase of 10% over your current medical rate. The increase in the medical rate is 2% higher than the pool average due to a loss ratio of 108.6%. There is no increase in the Dental and Vision plan rates. Effective October 1, 2018 your Life and Disability carrier will be The Standard, and those rates are illustrated below. We believe that you will find this renewal very reasonable in light of current market conditions. Medical — PRM Plan PPO 0727 Medical — PRM Plan BlueOptions 05901 Funding Rates Coverage Medical Medical COBRA Medical Reduced Retiree— etireeEm to ee Employee $797.29 $813.24 $606.68 Additional for Spouse $1,193.17 $1,217.03 $835.21 Additional for Child $794.33 $810.22 N/A Additional for Family $1,741.57 $1,776.40 N/A Medical — PRM Plan BlueOptions 05901 One Boca Place 2255 Glades Road, Suite 200E Boca Raton, FL 33431 Main 561-995-6706 Fax 561-998-6731 Funding Rates Coverage Medical Medical COBRA Medical Reduced Retiree Employee $627.37 $639.92 $477.31 Additional for Spouse $938.86 $957.64 $657.16 Additional for Child $624.98 $637.48 N/A Additional for Family $1,370.36 $1,397.77 N/A One Boca Place 2255 Glades Road, Suite 200E Boca Raton, FL 33431 Main 561-995-6706 Fax 561-998-6731 G uentai hi n rru Low rru Covera e Funding Rate Funding Rate Employee $35.78 $28.62 Employee Family $93.37 $74.70 Vision NVA - Voluntary Coverage Funding Rate Employee $5.24 Employee Spouse $9.83 Employee Child ren $8.18 Employee Family $16.19 Life Disability Coverage Funding Rate Short Term Disability - Voluntary $0.37 Long Term Disability — Non -Contributory $0.61 We appreciate the opportunity to serve you and your employees and look forward to working with you over the new plan year. Should you have any questions, please contact Yvonne Blackford or me at 561-995-6706. Sincer P I Hebert Area Senior Vice President PH/gsc Coverage FundingRate Basic Life per $1,000 $0.32 Basic AD&D per $1,000 $0.02 Voluntary Life per $1,000 Age Rated Voluntary Spouse Life per $1,000 Age Rated Voluntary AD&D per$1,000 $0.03 Voluntary Child Life $2.00 Disability Coverage Funding Rate Short Term Disability - Voluntary $0.37 Long Term Disability — Non -Contributory $0.61 We appreciate the opportunity to serve you and your employees and look forward to working with you over the new plan year. Should you have any questions, please contact Yvonne Blackford or me at 561-995-6706. Sincer P I Hebert Area Senior Vice President PH/gsc °FF City of Okeechobee Exhibit 10 L CO Memo July 10, 2018 Date: for July 10th meeting TO: Mayor and City Council FR: Admin Marco Montes De Oca and India Riedel, Finance Dept RE: PRM Group Health Insurance The City's current premium structure for plan 0727: Employee Only $ 725.14 Empl & Spouse $1,810.34 Empl & child(ren) $1,447.59 Empl Family $2,309.11 The City has had another year of large payout of benefits for our employees and dependents. ($105.00 paid out for every $100.00 premium, through April. As per the bylaws of the PRM group the maximum premiums will increase is 6% over the Group. The Group (PRM members) experience base rating is @ an 8% increase effective 10/1/18. Based on our higher experience rating than the group, are premiums are 2% higher, therefore the current PPO 0727 plan premium increase for this fiscal year is at 10%, or a $50,196 increase. The city is continuing to take a long term approach regarding the health of its employees by continuing the current benefits including the Clinic. Current plan, 0727 Affordable Care Act required option, 05901 City Cost Deduction Premium Per Employee per per Employee Month Pay Check -Employee Only $797.29 $797.29 $0.00 Add'I for Spouse $1,193.17 $150.00 $472.23 Add] for Child (ern) $794.33 $150.00 $297.38 Add'I for Family $1,741.57 $150.00 $734.57 Affordable Care Act required option, 05901 55 SE Third Avenue, Okeechobee, FL 34974 (863) 763-3372 / (863) 763-1686 Fax City Cost Deduction Premium Per Employee per per Employee Month Pay Check Only $627.37 $570.60 $0.00 -Employee Add'I for Spouse $938.86 $150.00 $364.08 Add] for Child (ern) $624.98 $150.00 $219.22 Add'I for Family $1,370.36 $150.00 $563.24 55 SE Third Avenue, Okeechobee, FL 34974 (863) 763-3372 / (863) 763-1686 Fax