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$2,500 Deductible Plan Monthly �[�A Deposit: • Single $200 (increase of $100) • Single + ! $170 (increase of $90) • Family $125 (increase of $60) Dental Renewal: After review of the 2007 claims in comparison with premiums brought in and the marketplace, the Benefits and Wellness Committee and the Delta dental claims professionals recommend staying self insured with Delta dental again in 2008 with no premium increase. No change in coverage was made to the plan. Long Term Disabilit� The City's current provider Ass�zran� was willing to extend our contract 2 more years and we had no other bidders. The contract provides for no increases in rates for 2008 - 2009. No change in coverage was made to the plan. Life Renewal: Standard came back with the best negotiated rates on life insurance extending the contract for another year. There is an increase in the basic life amounting to a$2,160 increase in cost to the City for the year due to an aging workforce. However, the voluntary lines will remain constant with no change in the cost and no change in coverage was made to the plan. Financial Impact: The City has a proposed healthcare budget for 2008 which would cover 10% of the premium increase. This amounts to approximately $113,000 over the 2007 budget. This funding is adequate to support the needs after the pla�a design changes. First, through strong negotiations (the medical plan increase was reduced from 42% _$465,860 increase to 33.2% _$368,254 increase), and by malting significant plan design changes (got total increase down to 6.8% _$75,617 overall increase). Life insurance will have only a minimal $186 annual impact; and Dental and Long Term Disability insurance will have no additional financial impact to the City for 2008. Council Action Reauested: Staff seeks a Council Motion approving the 2008 insurance programs and fund allocation as described above with the respective contracts (subject to review and approval by the City Attorney).