2023-06-20 VIII. D. PRM Group Health, Exhibit 7 4'ii
FFC 9 tiom= C• ity of Okeechobee h6b� -`
T.
d1Stb
_�- NNE• Memo ak (0 ,/)
0)0 Li 1CLt m 0>9
Date: for June 20th meeting j 1-CI\
TO: Mayor and City Council
FR: Gary Ritter, City Administrator and India Riedel, Finance Director
RE: PRM Group Health Insurance
The City's current premium structure for,
Plan 0727:
Employee Only $ 974.74 Empl & Spouse $2,433.47
Empl & child(ren) $1 ,945.86 Empl Family $3,103.94
Plan HSA 5810/5181:
Employee Only $ 843.33 Empl & Spouse $1 ,105.51
HSA contribution $ 111 .11
Empl & child(ren) $1 ,683.52 Empl Family $2,685.63
Medicare Plans:
Elite Premium
Eligible Retirees $ 339.43 $322.93
The City's' claim experience had been stable and had improved from the immediate prior
years, however this year proves to be the year of large claims. Based on the look back period
benefits paid out were $165.00 for every $100 in premium (on the rates from the last seven
month period beginning October 1 , 2022. PRM Board of Directors (us), approved use of
$1 ,000,000 of reserves from prior years savings for a 1% overall decrease to its members. As
per the bylaws of the PRM group, the maximum premiums will increase for a member is 6%
over the Group average (the group average after applying reserves is 5.75%), which equates
to an 11 .75% increase effective 10/01/2023.
With the application of the City's claims experience rating, the renewal premium for FY 2023-
2024 is at the fiscal impact based on the number of employees equates to a $75,590 for the
renewal.
We are continuing to take a long term approach regarding the health of its employees by
continuing the current benefits as well as the Clinic.
II
City of Okeechobee
Memo
Current PPO plan, 0727
City Cost Deduction
Premium Per Employee per
per Month Employee
Pay Check
Employee Only $1089.27 $1089.27 $0.00
Add'I for Spouse $1630.13 $150.00 $683.13
Add'I for Child (ern) $1085.23 $150.00 $431 .64
Add'I for Family $2379.38 $150.00 $1028.89
HSA 5810/5181
City Cost Deduction
Premium Per Employee per
per Month Employee
Pay Check
Employee Only $942.55 $974.74 $0.00
Add'I for Spouse $1410.49 $150.00 $513.32
Add'I for Child (ern) $938.91 $150.00 $318.55
Add'I for Family $2058.77 $150.00 $781 .07
Medicare Plans
Elite Platinum
Eligible Retirees $366.20 $348.88
21