Item No: 4.C.1.
Meeting Date: August 13, 2012
From: Dann Herrin, Risk Manager
Subject: Resolution authorizing execution of a two year agreement with Sun Life Financial to provide Employee Basic Life and AD&D insurance, Optional Life and AD&D insurance to employees, and Spouse, Child and Retiree Optional Life and AD&D insurance.
Staff recommends approving a two year, guaranteed rate agreement with Sun Life Financial to provide Employee Basic Life and AD&D insurance and Optional Life and AD&D insurance.
The City of Leesburg provides $50,000 of group-term Basic Life and AD&D insurance coverage for its eligible employees as part of the City’s comprehensive benefits package. Employees are able to purchase additional Optional Life and AD&D insurance coverage for themselves, their spouses, and children. Retirees can also purchase Optional Life insurance coverage up to $15,000. Optional Life and AD&D insurance are offered at no cost to the City of Leesburg.
The City is in its final year of a three year agreement with Standard Life Insurance. The renewal quote received this year from Standard Life Insurance included a 74% increase in the premium for the group-term Basic Life and AD&D insurance policy. At the request of the City, L.B. Bryan and Company, the City’s life insurance agent, obtained life insurance proposals from a total of four different companies. Sun Life Financial provided the most favorable quote that included no increase in premium to the City for the basic life and AD&D insurance policy, and only slight increases in premiums for the Optional Life and AD&D policies available to employees and retirees. The proposal from Sun Life Financial also included a two year guaranteed rate agreement.
There will be no increase in the premium rate for the Basic Life and AD&D paid by the City for the next two years.
1. Approve agreement with Sun Life Financial; or
2. Such alternative action as the Commission may deem appropriate
Prepared by: ______________________
Attachments: Yes____ No ______
Advertised: ____Not Required ______
Attorney Review : Yes___ No ____
Reviewed by: Dept. Head ________
Finance Dept. __________________
Deputy C.M. ___________________
City Manager ___________________
Account No. _________________
Project No. ___________________
WF No. ______________________
RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA, AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE AN AGREEMENT WITH SUN LIFE FINANCIAL TO PROVIDE BASIC LIFE AND AD&D INSURANCE AND OPTIONAL LIFE AND AD&D INSURANCE, AND PROVIDING AN EFFECTIVE DATE.
BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:
THAT the Mayor and City Clerk are hereby authorized to execute an agreement with Sun Life Financial, whose address is Two Harbor Place, 302 Knights Run Avenue, Suite 760, Tampa, Florida 33602, to provide Basic Life and AD&D insurance to the City of Leesburg, and Optional Life and AD&D insurance to the City’s employees and retirees.
THAT this resolution shall become effective immediately.
PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the 13th____ day of ____August__ 2012.