From
Lisa Norris, Human Resources Director
Title
Insurance Fund Monthly and Quarterly Review
Presenter
Ashley Land, Human Resources Manager
Recommended Action
Review Only
Analysis
This analysis covers the experience in the Employee Insurance Fund through the March 2018:
Employee Insurance Fund Summary (Quarter-End) and Monthly Review (Attachment 1-2):
The Insurance fund ended the second quarter of the fiscal year with another great month and positive operating balance. From a revenue perspective, the 2nd quarter (column 11) shows the increases from the plan year affected through premiums versus the first quarter (column 10). Employee contributions are up an average of $32,000 per month (row 4), averaging $264,105 in Quarter 2 versus $232,081 in Quarter 1. Retiree contributions (row 6) reflect monthly increases as well with Quarter 2 averaging $60,240 versus $48,918 per month in Quarter 1. Both of these are reflective of the plan changes, premiums and choices that began January 1. Our dental carrier changed January 1 from Metlife to Cigna and reduced employee premiums. Dental PPO premiums (row 5) decreased slightly by about $3,000/month as reflected in column 11 versus 10 with Dental HMO premiums (row 9) decreasing by about $500 per month (they also have fewer headcounts on that plan). Life premiums increased slightly resultant from salary increases which employees received in October, but do not impact life premium calculations until January annually. Moving to expenses, the most notable items are once again in claims. March active claims came in at $688,303, the lowest claim month of the year, and retiree claims at $140,477. Projecting to year-end, and still using the worst case scenario on claims projections (highlighted in red column 9), both active and retirees are estimated to come in beneath budget. With the increased revenues and decreased claims, we are projected to have a year-end Operating balance of $2,341,923 (column 12...
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