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Agenda 10/23/2012 Item #16E6 10/23/2012 Item 16.E.6. EXECUTIVE SUMMARY Recommendation to award Group Vision Discount coverage to Vision Service Plan (VSP) for a three year period effective January 1, 2013 in an estimated annual premium of$40,930. OBJECTIVE: To gain Board approval to purchase Group Vision Discount coverage through VSP for a three year period effective January 1, 2013. CONSIDERATIONS: The Board of Commissioners through its Risk Management Department administers the group benefits program for the County Manager's agency and participating Constitutional Officers. A Group Vision Discount Plan is offered as part of the program. Coverage is provided under a PPO arrangement with a per member per month fixed rate and a $10 PPO co-pay for members. Humana/CompBenefits is the current carrier. In anticipation of the January 1, 2013 renewal, staff directed the County's contracted benefits broker, Willis, Inc., to seek proposals from interested Vision Service carriers. Willis received proposals from six carriers. Willis then performed an analysis of each carrier's proposal to review price; the ability to offer a multiple year price guarantee; coverage terms; provider network size; and out of network reimbursement. Firms were then ranked according to this analysis. The analysis narrowed the finalist list to three carriers. These were Humana/CompBenefits, Eye Med and VSP. VSP and Eye Med were the only vendors that offered multiple year rate guarantees. VSP offered a three year rate guarantee; proposed the lowest rate; presented coverage terms that meet or exceed the current program; offered a higher out of network reimbursement schedule; and had the broadest provider network with little disruption to current members. The VSP network also includes access to Walmart and Sam's Club which members cannot access under the current Humana/CompBenefits program. Finally, a major administrative improvement offered by VSP includes the ability to accept enrollment eligibility through a nightly encrypted file upload. This will expedite the enrollment process almost instantaneously. The current vendor, Humana/Comp Benefits, has a web- based portal where eligibility can be entered manually; however the updates occur 48-72 hours later and can result in a delay of services. This will provide a positive impact for both members and providers and improve the efficiency of the staff due to a single point of data entry. Therefore, based upon the considerations of price, multiple year guarantees, coverage terms, provider network, out of net work reimbursement and automated enrollment, staff recommends the selection of VSP. There are no other changes to the terms and conditions of the program. FISCAL IMPACT: The estimated cost of the program in calendar year 2013 based upon an average enrollment of 1,938 employees is $40,930. Final cost is dependent upon actual enrollment. Rates are guaranteed for a three year period. Coverage commences on January 1, 2013. Sufficient funds are available within Fund 517, Group Health and Life Insurance for this purchase. Packet Page-1861- 10/23/2012 Item 16.E.6. GROWTH MANAGEMENT IMPACT: There is no growth management impact associated with this item. LEGAL CONSIDERATIONS: This item has been reviewed by the County Attorney's Office, requires majority vote, and is legally sufficient for Board action. —CMG RECOMMENDATION: That the Board approves the purchase of Group Vision Discount coverage from Vision Service Plan with a three year rate guarantee effective January 1, 2013 and ending December 31, 2015. PREPARED BY: Alice Toppe, Group Benefits Manager Packet Page-1862- 10/23/2012 Item 16.E.6. COLLIER COUNTY Board of County Commissioners Item Number: 16.E.6. Item Summary: Recommendation to award Group Vision Discount coverage to Vision Service Plan (VSP)for a three year period effective January 1, 2013 in an estimated annual premium of$40,930. Meeting Date: 10/23/2012 Prepared By Name:WalkerJeff Title: Director-Risk Management,Risk Management 10/4/2012 2:25:01 PM Submitted by Title: Director-Risk Management,Risk Management Name: WalkerJeff 10/4/2012 2:25:02 PM Approved By Name:pochopinpat Title: Administrative Assistant,Facilities Management Date: 10/4/2012 4:20:33 PM Name: GreeneColleen Title: Assistant County Attorney,County Attorney Date: 10/8/2012 1:25:43 PM Name: PriceLen Title: Administrator, Administrative Services Date: 10/9/2012 4:37:37 PM Name: FinnEd Title: Senior Budget Analyst, OMB Date: 10/9/2012 5:34:31 PM Packet Page-1863- 10/23/2012 Item 16.E.6. Name:KlatzkowJeff Title: County Attorney Date: 10/11/2012 4:57:44 PM Name: OchsLeo Title: County Manager Date: 10/13/2012 1:09:08 PM Aotox Packet Page-1864- I 10/23/2012 Item 16.E.6. 0 0 O N N N F . N a ,i , E4 m 0 S O Ol Co ° C N N 3 �' O w r A 3 W ° 3-4 m m v 7 -O o' m' N y O N S 7 r g N'3a Cf O 'D f! O 7 , 1 CL 0 �s N N O N 12 N O ,d_.,'O ID -0 ; N W N °.�/ O w O C1 N y 7 co N -, N O 61 �a ui 9 7 a c N m m 0) O a N Cf 7 NN N. N 7 t,>d n tb 74 c 7 .. co co cn 3 a d 3 I:, m a m ' .r s m ° W 3 9. T co O' i i al i V N O. M C V Oi3 N w C fri n -, O1 O r —K C)< m O co 0. io o N 7 =.S 3 co Z a co 3 m Z n d n ¢Oi ii m e C?x°� o ax- - z o k o F. 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