Brevard Public Schools

Transcription

1 2015 Renewal & Marketing Analysis Brevard Public Schools Presented By: Client Advocate: Mike Meredith Account Executive: Susan Cugno Client Service Manager: Chris Woertz Financial Client Manager/Marketing: Katherine Kleinheinz

2 Disclaimer Enclosed is a Renewal Analysis of the renewal terms and conditions for your current renewal policies and/or service contracts. We looked at a number of carrier(s)/vendor(s) for the coverages and/or services you require and are attaching a Marketing Analysis to assist you with reviewing your options based on these quotes We believe that the terms and conditions of the attached Renewal / Marketing Analysis reflect the coverages and/or services that you directed us to obtain. We will furnish you a copy of the original renewal/recommended quotes upon your request. Please be advised that the renewal/quotes attached may differ from your current policy. We recommend that you read the renewal/quotes specifications from the carrier in their entirety and compare them to your current policy. We have highlighted certain key areas in the attached analysis. Also, please examine the renewal/proposals from the carrier(s) and make note of any expiration dates indicated. We are not contractually obligated to provide quotes from only these carriers. The choice of carriers is based on our knowledge and experience of the market sector and your situation. Proposals/the renewal are based on the information that you provided to us and have been relied upon by Willis and (re)insurer and/or service provider. If the information you provided is inaccurate or incomplete, it may allow (re)insurers and/or service providers to avoid liability on a particular claim or to void a policy entirely. Therefore, if you discover that previously submitted information is inaccurate or incomplete, please advise us immediately so that we can attempt to revalidate terms with (re)insurers and/or service providers. All premium payment terms must be met on time or the insurance carriers and/or service providers will have the right to effect notice of cancellation for non-payment of premium. We will not be responsible for any consequences that may arise from any delay or failure by you to pay the amount payable by the indicated date. The purpose of this communication is to summarize the proposal/renewal terms and the coverage available and should not be construed as providing any final commitment by the insurer or any confirmation of actual coverage. Please provide us with your specific written instructions of the coverage selection you make. Please review this proposal and its attachments carefully and provide us with your specific written instructions of the coverage selection you make. If you have any questions or you feel the coverage recommended is not in accordance with your instructions, please contact us. If you have questions or concerns regarding our compensation, please contact your Client Advocate or you may also call In our search for your insurance coverage we have used the (Intermediary/ sub-broker) referenced in the summary of quotes which has provided the recommended quote(s). (Subbroker) is an affiliate of the Willis group of companies. Any compensation it receives is included in the total compensation disclosed in the summary of quotes. This proposal is presented in conjunction with the Standard Terms and Conditions for Human Capital Accounts which is enclosed W Boy Scout Blvd. Suite 1000 Tampa, Florida (813) Disclaimer Page 2

3 Brevard Public Schools - Stop Loss Market Summary We have listed for you the carrier(s)/vendor(s) that we sought and their responses, our compensation and Sub-Brokers (if any) in the following Summary Table: Carrier Name Line of Business Response Compensation Additional Compensation Market Security AIG Stop Loss Declined to quote (not competitive) N/A N/A Not approved Arch Stop Loss Declined to quote (not competitive) N/A N/A Approved HCC Life Stop Loss Quoted Net N/A Approved HM Life International Assurance of Tennessee / American Fidelity Stop Loss Declined to quote (not competitive) N/A N/A Approved Stop Loss Quoted (not competitive) Net N/A RPO approval required Munich Re / American Alternative Stop Loss Quoted Net N/A Approved Optum Stop Loss Declined to quote (not competitive) N/A N/A Approved Symetra Stop Loss Declined to quote (not competitive) N/A N/A Approved Voya / ReliaStar Stop Loss Quoted (not competitive) Net N/A Approved Willis Re / PartnerRe Stop Loss Quoted Willis of Florida: Net Willis A&H: 5% N/A Approved We have listed for you the name of the carrier/vendor that submitted the renewal including our compensation and Sub-Brokers (if any) in the following Summary Table: Carrier Name Line of Business Response Compensation Additional Compensation Market Security Sun Life Stop Loss Renewal received Net N/A Approved Additional Compensation contracts are continually under negotiation and may differ from what appears above at the time of the plan effective date. Please note that the quotes from these above noted insurers were obtained through the Willis Panel Process: HM Life, Munich Re, Sun Life, Symetra and Voya. Brevard - Market Summary Page 3

4 Brevard Public Schools 2015 Stop Loss Summary Summary Stop Loss $425,000 Deductible Level Sun Life Sun Life Sun Life HCC Life* Munich Re / American Alternative** WillisRe / PartnerRe Current Renewal Renewal Alternate Proposed Proposed Proposed Stop Loss Premium $485,186 $509,419 $494,582 $509,781 $495,391 $494,811 % Pemium Variance NA 5.0% 1.9% 5.1% 2.1% 2.0% $ Premium Difference from Current NA $24,234 $9,396 $24,596 $10,206 $9,625 Aggregating Specific Liability $387,000 $387,000 $387,000 $387,000 $387,000 $387,000 Annual Premium Including Aggregating Spec. $872,186 $896,419 $881,582 $896,781 $882,391 $881,811 % Fixed Cost Variance NA 2.8% 1.1% 2.8% 1.2% 1.1% Rank NA Summary Stop Loss $400,000 Deductible Level Sun Life Sun Life Sun Life WillisRe / PartnerRe Current Proposed Proposed Alternate Proposed Stop Loss Premium $485,186 $719,348 $698,396 $589,816 % Pemium Variance NA 48.3% 43.9% 21.6% $ Premium Difference from Current NA $234,162 $213,210 $104,630 Aggregating Specific Liability $387,000 $387,000 $387,000 $387,000 Annual Premium Including Aggregating Spec. $872,186 $1,106,348 $1,085,396 $976,816 % Fixed Cost Variance NA 26.8% -1.9% 12.0% Rank NA Summary Stop Loss $450,000 Deductible Level Sun Life Sun Life Sun Life HCC Life* Munich Re / American Alternative** WillisRe / PartnerRe Current Proposed Proposed Alternate Proposed Proposed Proposed Stop Loss Premium $485,186 $449,946 $436,841 $437,069 $424,025 $424,240 % Pemium Variance NA -7.3% -10.0% -9.9% -12.6% -12.6% $ Premium Difference from Current NA -$35,240 -$48,345 -$48,117 -$61,161 -$60,946 Aggregating Specific Liability $387,000 $387,000 $387,000 $387,000 $387,000 $387,000 Annual Premium Including Aggregating Spec. $872,186 $836,946 $823,841 $824,069 $811,025 $811,240 % Fixed Cost Variance NA -4.0% -1.6% -5.5% -7.0% -7.0% Rank NA * HCC Life was unable to provide a quote for $400,000 deductible level due to group size ** Munich Re will provide a quote for the $400,000 deductible level dependent on receipt of additional claimant information Stop Loss Summary Page 4 Actual rates will be based on final underwriting/enrollment This proposal is not to be construed as an exact or complete analysis of the policies nor as legal evidence of insurance. The provisions of the actual policy will prevail. THIS INFORMATION IS PROPRIETARY AND SHOULD NOT BE DISTRIBUTED.

5 Brevard Public Schools 2015 Stop Loss Marketing Analysis - $425,000 Deductible Level Sun Life Sun Life Sun Life HCC Life Munich Re / American Alternative WillisRe / PartnerRe ENROLLED CURRENT RENEWAL RENEWAL Alternate PROPOSED PROPOSED PROPOSED Reinsurance Contract Provisions: Maximum Reimbursement ISL - Lifetime Unlimited Unlimited Unlimited Unlimited Unlimited Unlimited ISL - Annual Unlimited Unlimited Unlimited Unlimited Unlimited Unlimited Covered Benefits ISL - Medical/Rx Medical/Rx Medical/Rx Medical/Rx Medical/Rx Medical/Rx ISL Contract Deductible $425,000 $425,000 $425,000 $425,000 $425,000 $425,000 Contract Type 12/18 12/18 12/18 12/18 12/18 12/18 Rates Composite 6,725 N/A N/A N/A N/A N/A N/A Single 4,197 $3.55 $3.73 $3.62 $3.43 $4.62 $3.97 Family 2,528 $10.10 $10.60 $10.29 $11.11 $8.66 $9.72 Estimated Annual Premium $485,186 $509,419 $494,582 $509,781 $495,391 $494,811 % Change in Premium N/A 5.0% 1.9% 5.1% 2.1% 2.0% Aggregating Specific Liability $387,000 $387,000 $387,000 $387,000 $387,000 $387,000 Estimated Annual Premium including Aggregating Specific $872,186 $896,419 $881,582 $896,781 $882,391 $881,811 Total Insurance Premium including Aggregating Specific Liability $872,186 $896,419 $881,582 $896,781 $882,391 $881,811 % Change N/A 2.8% 1.1% 2.8% 1.2% 1.1% Participation Maintain current Maintain current 75% 75% Maintain current Run-In Limit $0.00 $0.00 $0.00 $0.00 $0.00 Lasers None None MEMBER ID /31/2014 Report (Chemo) - $550,000 No New Lasers at Renewal Included NOT Included Not included Not included Not included Contingencies Apply Yes Yes Yes Yes Yes Quote is Firm? Yes Yes Firm with the receipt and approval of executed/signed disclosure by 12/5/2014 None Yes None Firm with the receipt and approval of executed/signed disclosure by 12/16/2014 Notes Includes Simultaneous Funding Includes Retirees Includes 50% Renewal Rate Cap Includes Simultaneous Funding Includes Retirees Does NOT Include 50% Renewal Rate Cap Includes Simultaneous Funding Includes Retirees Includes Simultaneous Funding Excludes Retirees age 65 and older Includes Simultaneous Funding Includes Global Emergency Services through Assist America Includes Retirees Actual rates will be based on final underwriting/enrollment This proposal is not to be construed as an exact or complete analysis of the policies nor as legal evidence of insurance. The provisions of the actual policy will prevail. THIS INFORMATION IS PROPRIETARY AND SHOULD NOT BE DISTRIBUTED. Brevard - 425k Deductible Level Page 5

6 Brevard Public Schools 2015 Stop Loss Marketing Analysis - $400,000 Deductible Level Sun Life Sun Life Sun Life WillisRe / PartnerRe ENROLLED CURRENT PROPOSED PROPOSED Alternate PROPOSED Reinsurance Contract Provisions: Maximum Reimbursement ISL - Lifetime Unlimited Unlimited Unlimited Unlimited ISL - Annual Unlimited Unlimited Unlimited Unlimited Covered Benefits ISL - Medical/Rx Medical/Rx Medical/Rx Medical/Rx ISL Contract Deductible $425,000 $400,000 $400,000 $400,000 Contract Type 12/18 12/18 12/18 12/18 Rates Composite 6,725 N/A N/A N/A N/A Single 4,197 $3.55 $5.26 $5.11 $4.73 Family 2,528 $10.10 $14.98 $14.54 $11.59 Estimated Annual Premium $485,186 $719,348 $698,396 $589,816 % Change in Premium N/A 48.3% 43.9% 21.6% Aggregating Specific Liability $387,000 $387,000 $387,000 $387,000 Estimated Annual Premium including Aggregating Specific $872,186 $1,106,348 $1,085,396 $976,816 Total Insurance Premium including Aggregating Specific Liability $872,186 $1,106,348 $1,085,396 $976,816 % Change N/A 26.8% 24.4% 12.0% Participation Maintain current Maintain current Maintain current Run-In Limit $0.00 $0.00 $0.00 Lasers None None None No New Lasers at Renewal Included Not Included Not included Contingencies Apply Yes Yes Yes Quote is Firm? Yes Yes Firm with the receipt and approval of executed/signed disclosure by 12/16/2014 Notes Includes Simultaneous Funding Includes Retirees Includes 50% Renewal Rate Cap * HCC Life was unable to provide a quote at this deductible level due to group size ** Munich Re will provide a quote for the $400,000 deductible level dependent on receipt of additional claimant information Includes Simultaneous Funding Includes Retirees Does NOT Include 50% Renewal Rate Cap Includes Simultaneous Funding Includes Global Emergency Services through Assist America Includes Retirees Actual rates will be based on final underwriting/enrollment This proposal is not to be construed as an exact or complete analysis of the policies nor as legal evidence of insurance. The provisions of the actual policy will prevail. THIS INFORMATION IS PROPRIETARY AND SHOULD NOT BE DISTRIBUTED. Brevard - 400k Deductible Page 6

7 Brevard Public Schools 2015 Stop Loss Marketing Analysis - $450,000 Deductible Level Sun Life Sun Life Sun Life HCC Life Munich Re / American Alternative WillisRe / PartnerRe ENROLLED CURRENT PROPOSED PROPOSED Alternate PROPOSED PROPOSED PROPOSED Reinsurance Contract Provisions: Maximum Reimbursement ISL - Lifetime Unlimited Unlimited Unlimited Unlimited Unlimited Unlimited ISL - Annual Unlimited Unlimited Unlimited Unlimited Unlimited Unlimited Covered Benefits ISL - Medical/Rx Medical/Rx Medical/Rx Medical/Rx Medical/Rx Medical/Rx ISL Contract Deductible $425,000 $450,000 $450,000 $450,000 $450,000 $450,000 Contract Type 12/18 12/18 12/18 12/18 12/18 12/18 Rates Composite 6,725 N/A N/A N/A N/A N/A N/A Single 4,197 $3.55 $3.29 $3.19 $2.95 $3.98 $3.40 Family 2,528 $10.10 $9.37 $9.10 $9.51 $7.37 $8.34 Estimated Annual Premium $485,186 $449,946 $436,841 $437,069 $424,025 $424,240 % Change in Premium N/A -7.3% -10.0% -9.9% -12.6% -12.6% Aggregating Specific Liability $387,000 $387,000 $387,000 $387,000 $387,000 $387,000 Estimated Annual Premium including Aggregating Specific $872,186 $836,946 $823,841 $824,069 $811,025 $811,240 Total Insurance Premium including Aggregating Specific Liability $872,186 $836,946 $823,841 $824,069 $811,025 $811,240 % Change N/A -4.0% -5.5% -5.5% -7.0% -7.0% Participation Maintain current Maintain current 75% 75% Maintain current Run-In Limit $0.00 $0.00 $0.00 $0.00 $0.00 Lasers None None MEMBER ID /31/2014 Report (Chemo) - $550,000 No New Lasers at Renewal Included Not Included Not included Not included Not included Contingencies Apply Yes Yes Yes Yes Yes Quote is Firm? Yes Yes Firm with the receipt and approval of executed/signed disclosure by 12/5/2014 None Yes None Firm with the receipt and approval of executed/signed disclosure by 12/16/2014 Notes Includes Simultaneous Funding Includes Retirees Includes 50% Renewal Rate Cap Includes Simultaneous Funding Includes Retirees Does NOT Include 50% Renewal Rate Cap Includes Simultaneous Funding Includes Retirees Includes Simultaneous Funding Excludes Retirees age 65 and older Includes Simultaneous Funding Includes Global Emergency Services through Assist America Includes Retirees Actual rates will be based on final underwriting/enrollment This proposal is not to be construed as an exact or complete analysis of the policies nor as legal evidence of insurance. The provisions of the actual policy will prevail. THIS INFORMATION IS PROPRIETARY AND SHOULD NOT BE DISTRIBUTED. Brevard - 450k Deductible Page 7