HomeMy WebLinkAboutIR 7498 INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 7498
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tos?,�, To the Mayor and Members of the City Council October 30, 1990
Siubject: GROUP HEALTH INSURANCE FOR RETIREES JANIUARY 1 , 1991
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The City Council insurance Committee, acting on the recommendation of its
consultant, Asset Protection Agency, Inc. , directed the City staff to begin
plans to implement a new group health insurance program for retired employ-
ees effective January 1, 1991. The key features of the new plan are:
o It is a self-insured plan (as is the current program) which will be
administered by Sanus Texas Health Plan, Inc.
o The plan incorporates the cost-containment and quality assurance features
of a managed care program.
o The plan has a "high" and "low" option design allowing retirees and their
families to chose the plan element that best meets their medical needs
and financial requirements
o The plan has a "Medicare carve out" provision which requires that
Medicare be primary for medical benefits and the City's plan secondary
for those retirees .eligible for Medicare coverage.
o The additional costs of the plan be borne by the retirees.
The January 1 effective date requires that the staff, consultant, and pro-
vider move quickly in the design of information and education efforts aimed
at a providing retirees and their dependents adequate information about the
program to effect an informed choice. This information/education campaign
includes the development of a variety of written pieces to describe the
plan, provision for direct mailings to the homes of all retirees, and meet-
ings held during November to provide information about the plan to retirees
and their dependents. This information /education process culminates in
the open enrollment period wherein each retiree makes an election which
reflects his or her individual choice.
Adhering to the following timetable is necessary to accomplish a January 1,
1991 effective date:
10/30 City Council is notified and concurs with the direction staff is
taking to implement the program
11/2 A group of retirees is impaneled to assist in the development of
the education/information program and to provide input into the
design of the plan within the financial parameters specified.
Information is developed and disseminated to this group to assist
them. A schedule of meetings has been set and staffed.
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 7498
op* '��..... October 30, 1990
To the Mayor and Members of the City Council
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ci, )_ SubjA�ft GROUP HEALTH INSURANCE FOR RETIREES JANdARY 1 , 1991
11/5 Preliminary work on the communication pieces has been completed.
A general mailing goes to all retirees advising them of the
change in plan, providing general information about managed care
and providing the schedule of meeting dates, times, and
locations.
11/9 Final decisions have been made regarding the plan design and fi-
nancing. All communication pieces have been reviewed and ap-
proved by the retiree panel .
11/26- Scheduled meetings with retirees occur
12/1
11126 Open enrollment begins
12/21 open enrollment ends
1/1 New plan effective date
Staff is proceeding with the implementation of the program described above
according to the timetable provided. If additional information is re-
quired, it will be provided.
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David Ivory
6:11lCity Manager
-ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS