City of Port St. Lucie header
File #: 2024-881    Version: 1 Name:
Type: Consent Status: Passed
File created: 8/26/2024 In control: City Council
On agenda: 9/9/2024 Final action: 9/9/2024
Title: Approve Stop Loss Insurance Policy with Florida Blue for Fiscal Year 2024/2025
Attachments: 1. Stop Loss Plan Evaluation (Current v. Proposed), 2. Stop Loss Proposal, 3. Example Policy Terms
Placement: Consent Agenda
Action Requested: Motion / Vote
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Approve Stop Loss Insurance Policy with Florida Blue for Fiscal Year 2024/2025
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Submitted By: Kimberly Sala, Assistant Director, Human Resources

Strategic Plan Link: The City's Goal of a high-performing city government organization.

Summary Brief (Agreements/Contracts only)
1. Prepared by: Kimberly Sala, J.D., SHRM-CP, Human Resources
2. Parties: City of Port St. Lucie and Florida Blue/ISU
3. Purpose: To provide Stop Loss Insurance for medical claims.
4. New/Renewal/Modified: New
5. Duration: 1 year
6. Benefits to Port St. Lucie: To provide protection to the City for medical claims that exceed the threshold of $500,000.00 per claimant.
7. Cost to Port St. Lucie (Annual and Potential): The estimated expenditure for FY 24/25 is $1,514,062.00 (a 0.1% increase over FY 23/24 cost).

Presentation Information: Staff and the Gehring Group are available to answer any questions the Council may have.

Staff Recommendation: Move that the Council approve the Stop Loss insurance policy with Florida Blue.

Alternate Recommendations:
1. Move that the Council amend the recommendation and approve the Stop Loss insurance policy with Florida Blue.
2. Move that the Council reject the recommendation and provide staff with direction.

Background: Stop Loss insurance is a component of the City's self-funded health insurance program and it provides protection to the City from the financial risk of unpredictable high costs and/or high volume claims filed under the plan. Stop Loss coverage protects against claims that could compromise the City's financial health. On July 19, 2024, the City's insurance broker, the Gehring Group, released an RFP to the market and solicited responses for Stop Loss insurance proposals. A total of twenty (20) proposals were received from seven (7) carriers and all proposals were vetted by the Gehring Group and the City. Florida Blue had the best coverage for the most cost-effective ...

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