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Home My WebLink About062447-R1 - General - Contract - VOYA Insurance CompanyStop Loss Insurance Renewal Offer Voya Health Solutions Prepared for: City of Fort Worth Effective Date 01 /01 /2026 Policy Number 748714 CSC No. 62447-R1 Excess Risk Insurance is issued by Re/iaStar Life Insurance Company, a member of the VoyaO family of companies. PLAN � A Issued by ReliaStar Life Insurance Company �NvesT '� A member of the VoyaO family of companies PROTecT � � FINANCIAL Stop Loss Proposal for City of Fort Worth Individual Excess Risk Insurance Plan Effective Date Coverages Individual Deductible Policy Year Maximum Lifetime Maximum Coverage Period Benefit Percentage Rates Include Commissions of: Endorsements Renewal Advantage (No New Laser) Renewal Rate Cap Plan Mirroring ASO Expedited Reimbursement Coverage Description Composite Cost Estimated Monthly Costs Estimated Annual Costs % Change from Current Select Acceptance Choice Enrollment 6,409 January 1, 2025 Medical, Rx $ 1,000,000 Unlimited Unlimited Paid in 12 Months and incurred Jan 01, 2024 or after 100% None Included 50.00 % Included Included $ 21.92 $ 140,485 $ 1,685,823 January 1, 2026 Medical, Rx $ 1,000,000 Unlimited Unlimited Paid in 12 Months and incurred Jan 01, 2024 or after 100% None Included 50.00 % Included Included $ 24.73 $ 158,495 $ 1,901,935 12.82% ❑ January 1, 2026 Medical, Rx $ 1,100,000 Unlimited Unlimited Paid in 12 Months and incurred Jan 01, 2024 or after 100% None Included 50.00 % Included Included $ 23.52 $ 150,740 $ 1,808,876 7.30% ❑ PLAN � A Issued by ReliaStar Life Insurance Company �NvesT '� A member of the VoyaO family of companies PROTecT � � FINANCIAL Individual Excess Risk Insurance Plan Effective Date Coverages Individual Deductible Policy Year Maximum Lifetime Maximum Coverage Period Benefit Percentage Rates Include Commissions of: Endorsements Renewal Advantage (No New Laser) Renewal Rate Cap Plan Mirroring ASO Expedited Reimbursement Coverage Description Composite Cost Estimated Monthly Costs Estimated Annual Costs °/a Change from Current Select Acceptance Choice Enrollment 6,409 �_ � � � January 1, 2026 January 1, 2026 Medical, Rx Medical, Rx $ 1,250,000 $ 1,500,000 Unlimited Unlimited Unlimited Unlimited Paid in 12 Months and incurred Jan 01, Paid in 12 Months and incurred Jan 01, 2024 or after 2024 or after 100°/a 100% None None Included 50.00 % Included Included $ 20.48 $ 131,256 $ 1,575,076 -6.57% ❑ Included 50.00 % Included Included $ 16.79 $ 107,607 $ 1,291,285 -23.40% ❑ PLAN � A Issued by ReliaStar Life Insurance Company �NvesT '� A member of the VoyaO family of companies PROTecT � � FINANCIAL Stop Loss Proposal for City of Fort Worth Account Assumptions _ � Renewal As Of Date Renewal Good Through Situs State Claim Administrator Network November 20, 2025 December 5, 2025 Texas Luminare , OptumRx Claims 2026-01 BlueCross BlueShield (State) Additional Contract Specifications: No fully insured lives are covered. Any FDA approved cell and gene therapies are covered under our Stop Loss policy, provided they are also covered under the group's medical plan and used for the purpose for which they were approved. This includes any new approvals that occur mid-policy year. We also exclude these high-cost claims from the following year's renewal package, helping to lower the impact of this cutting-edge care on self-funded employer costs. In addition to base commissions, certain brokers and/or service providers may receive compensation related to factors such as overall sales of Company products, total premium for products sold through the broker/service provider, growth in the number of customers, and retention of existing customers. Compensation and fees may also be paid to brokers and/or service providers for administrative services in connection with Company products. Please contact us if you would like additional detail on compensation and fees payable on your case. Plan must have medical case management and utilization review. All claims are reported/paid in U.S. dollars. Any costs charged by the claim administrator for reports required to substantiate claims will be paid by the employer. The proposal is based on the data submitted. Any changes to this data may allow us to modify the proposal. We reserve the right to (i) recalculate Monthly Aggregate Factor(s) [if applicable] and Individual Excess Risk Monthly Premium Rates as shown on the Excess Risk Schedule and continue this Policy, or (ii) terminate this Policy in accordance with the Policy Termination provision of this Policy if an increase or decrease in the number of Covered Persons and Covered Dependents that exceeds 15% of the current number covered under the Employee Benefit Plan. Premium rates were adjusted via filed and approved underwriting discretion in consideration of the carrier reporting fees assessed by the PBM or TPA, which are directly associated with the claims information we require to administer our Policy. Duplication of current plan designs and contribution levels. Any changes may require an adjustment to the individual excess risk rates. Retirees pre and post age 65 are covered under the Stop Loss contract. We assume Medicare is primary for any retiree age 65 or older. An Individual Adjusted Deductible is set at $1,600,000. The individual stop loss renewal is based upon the current leveraged trend factors, market conditions, plan designs and current demographic factors. The aggregate renewal is based upon the experience of the group and current trend. Any plan changes may affect this renewal and need to be disclosed prior to the renewal acceptance. G�AlUb�lt�� 02/05/2026 Dianna Giordano (Feb 5, 2026 13:�201 CST) Authorized Signature Date City of Fort Worth 01 /01 /2026 Excess Risk Insurance is underwritten by ReliaStar Life Insurance Company. Policy form RL-SL-POL-2025 (may vary by state). Exclusions and limitations are described in the policy. PLAN � A Issued by ReliaStar Life Insurance Company �NvesT '� A member of the VoyaO family of companies PROTecT � � FINANCIAL Economic Factors: Manage the Effects of Leveraged Trend (Illustrative) Medical trend is the anticipated annual increase in the cost of inedical claims from year to year. Medical costs generally increase every year through inflation, and there are many additional factors that determine the actual medical trend for a specific health plan. Components of inedical trend include: Plan Design Technology Utilization Patterns Demographics Network Cost Shifting Medical trend gets leveraged when parties responsible for medical claims do not maintain the same proportional share of the risk from year to year. Put simply, rising medical costs affect stop loss carriers differently than employers. But rather than passing our increasing risk back on to you in the form of large rate increases, we can compensate with small increases in deductibles. Here's an example. In Year 1, the plan elects a$150,000 individual stop loss deductible. If there is an individual claim of $225,000, the first $150,000 is the employer's responsibility and the remaining $75,000 is reimbursed by the stop loss carrier. In Year 2, assuming an 8% increase in medical costs, a claim that would have been $225,000 in Year 1 now costs $243,000. If the deductible doesn't change, the first $150,000 is the employer's responsibility and the remaining $93,000 reimbursed by the stop loss carrier. So that 8°/o trend produces a 24% cost increase to the stop loss carrier's claim and 0% increase to the employer. $225,000 Claim with 8% Medical Trend in Year 2 Spec Level at $150,000 300,000 250,000 24% 200,000 93,000 75,000 N � �50,000 U 0% 100,000 � �� 50,000 Year 1 Year 2 ■ Employer's Responsibility Voya's Responsibility If the stop loss deductible is left at the same dollar level year after year, the employer's risk actually decreases as a percentage of the overall claim. Conversely, the insurer's risk is increasing -- and, in response, the insurer has to increase rates well beyond medical trend. In order to eliminate the leveraging effect, the employer should increase its individual deductible by trend each year. This essentially retains the exact same proportion of the risk. In an effort to mitigate the effects of leveraged trend, your underwriter has included an optional quote during this year's renewal. Excess Risk Insurance is issued by ReliaStar Life Insurance Company, a member of the Voya° family of companies. PLAN � A Issued by ReliaStar Life Insurance Company �NvesT '� A member of the VoyaO family of companies PROTecT � � FINANCIAL ACCEPTED AND AGREED: CITY: City of Fort Worth By: ,�A'''►�", ��'�,,.;,�,,,,,<s1 Name: Dianna Giordar Title: Assistant City Manager Date: 02/05/2026 Approval Recommended: By: �c�rc� �i.rct v� Name: 1'lile: Assistant HR Director Attest: By. :�..�� ,� �_ .. Name: Jannette Good; Title: City Secretary VENDOR: By: Name: Title: Contract Compliance Manager: By signing I acknowledge that I am the person responsible for the monitoring and administration of this contract, including ensuring all performance and reporting requirements. By: �� ,�'a� Name: 7'ltle: Benefits Manager Approved as to Form and Legality: �� I� By: Name: Keanan Matthews Hall Title: Assistant City Attorney Contract Authorization: M&C: 26-0016 Date: 1/28/26, 12:27 PM CITY COUNCIL AGENDA Create New From This M&C DATE: CODE: M&C Review 1/13/2026 REFERENCE NO.: **M&C 26-0016LOG NAME C TYPE: CONSENT PUBLIC HEARING: 14STOPLOSS2026 � F�1RT�'�'URTH -�� SUBJECT: (ALL) Authorize Execution of Agreement with VOYA Insurance Company in an Amount Not to Exceed $2,100,000.00 for Stop Loss Insurance for the City of Fort Worth's Health Benefits Plan with an Effective Date of January 1, 2026 for a One-Year Term RECOMMENDATION: It is recommended that the City Council authorize the execution of an agreement with VOYA Insurance Company in an amount not to exceed $2,100,000.00 for Stop Loss Insurance for the City of Fort Worth's Health Benefits Plan with an effective date of January 1, 2026 for a one year term. DISCUSSION: The purpose of this Mayor and Council Communication (M&C) is to seek authorization from the City Council to enter into an agreement with VOYA Insurance Company, for Stop Loss Insurance for the City of Fort Worth's (City) Health Benefits Plan for 2026. If approved, effective January 1, 2026, VOYA Insurance Company would provide specific stop loss coverage for the City's self-insured health plan. The specific stop loss coverage caps the City's liability for annual claims on a per member basis. The City pays for all claims for each participant up to a specified dollar amount with the Stop Loss Insurance coverage paying for any claims beyond the $1 million per-participant threshold at a cost of $24.73 per employee per month (PEPM) for each active employee and non-Medicare retiree who is a member of the City's self-funded health plan. In 2024, the City's Healthcare Plan had four members exceed the $1 million in claims cost and through October 2025 the City's Healthcare Plan had two members exceed the $1 million in claims cost. The City's benefits consultant, IMA, conducted a Request for Proposal and VOYA Insurance Company was selected due to cost and experience in the stop loss industry. SBO: This solicitation was reviewed by the Small Business Division for small business prospects according to the Small Business Ordinance. There were no small business opportunities available for the goods/services requested. Funding is budgeted in the HR Retired Employee Insurance and HR Active Employee Insurance Departments within the Group Health Insurance and Retiree Healthcare Trust Funds, as appropriated. Funding for the balance of terms of these contracts will be requested as part of the Fiscal Year 2027 budget process. FISCAL INFORMATION/CERTIFICATION: The Director of Finance certifies that upon approval of the recommendation, funds are available in the current operating budget, as previously appropriated, in the Group Health Insurance and Retiree Healthcare Trust Funds. Prior to an expenditure being incurred, the Human Resources Department has the responsibility to validate the availability of funds. TO Fund I Department I Account Project Program I Activity Budget ' Reference # Amount , ID ID � Year (Chartfield 2) apps.cfwnet.org/cou ncil_packet/mc_review.asp? I D=34059&cou ncildate=1 /13/2026 1/2 1/28/26, 12:27 PM M&C Review FROM Fund Department Account Project Program Activity Budget Reference # Amount ID ID Year �(Chartfield 2) Submitted for City Manaqer's Office by_ Dianna Giordano (7783) Originating Department Head: Kristin Smith (2697) Additional Information Contact: Joanne Hinton (6275) ATTACHMENTS 14STOPLOSS2026 Funds Availabilitv.docx (CFW Internal) 26-TBD11142025 HUB (BU14 Reinsurance Carriers) Approved.pdf (Public) Stop Loss FID 2026.pdf (CFW Internal) apps.cfwnet.org/cou ncil_packet/mc_review.asp? I D=34059&cou ncildate=1 /13/2026 2/2 F�RT��RTHo City Secretary's Office Contract Routing & Transmittal Slip Contractor's Name: vOYA Health Solutions Subject of the Agreement: Application for Stop-Loss Insurance. This is insurance on our self-funded medical plan which pays when a claim exceeds $1M M&C Approved by the Council? * Yes ❑✓ No ❑ If �so, the M&C must be attached to the contract. Is this an Amendment to an Existing contract? Yes ❑ No ❑✓ If �so, provide the original contract number and the amendment number. Is the Contract "PermanenY'? *Yes ❑ No 0 If �unsure, see back page for permanent contract listing. Is this entire contract Confidential? *Yes ❑ No ❑✓ If only specific information is Confidential, please list what information is Confidential and the page it is located. Effective Date: 01/01/2026 Expiration Date: 12/31/2026 If different from the approval date. If applicable. Is a 1295 Form required? * Yes ❑ No ❑✓ *If �so, please ensure it is attached to the approving M&C or attached to the contract. Proj ect Number: If applicable. *Did you include a Text field on the contract to add the City Secretary Contract (CSC) number? Yes ❑✓ No ❑ Contracts need to be routed for CSO processin� in the followin� order: 1. Katherine Cenicola (Approver) 2. Jannette S. Goodall (Signer) 3. Allison Tidwell (Form Filler) *Indicates the information is required and if the information is not provided, the contract will be returned to the department. 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