HomeMy WebLinkAbout1996-173
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RESOLUTION NO. 96-173
APPROVING RATE INCREASE FOR HOSPIT ALIMEDICAL INSURANCE
BE IT RESOLVED by the City Council of Stillwater, Minnesota, that the premium increase
and renewal offer by Blue Cross Blue Shield of Minnesota for hospital/medical insurance,
attached hereto as Exhibit A, are hereby accepted.
Adopted by Council this 16th day of July, 1996.
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ATTEST:
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Modi eldon, City Clerk
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5535 Blue Cross Road. P.O. Box 64560 . St. Paul, MN 55164-0560 . (612) 456-8000 . 1-800-382-2000
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June 18, 1996
Mr. Nile Kriesel
City of Stillwater
216 North 4th Street
Stillwater, MN 55082
Dear Nile:
The September 1996 BCBSM and Blue Plus renewal has been comp1ete9 for the city.
The city has been insured with BCBSM for 33 years and Blue Plus for 2 years. During
the past 8 years, in which I have serviced this account, the average rate increase has been
9.96% per year. This year's melded increase resulted in a 21.1 % increase, however, due
to a high case that is now inactive, a 12 % increase has been given and are:
SINGLE
FAMILY
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TRADITIONAL PLAN:
Current:
Renewal:
$144;16
$161.36
$378.61
$424.38
PREFERRED GOLD:
Current:
Renewal:
$129.93
$145.43
$341.23
$382.48
The renewal rates, which have been realigned, include a small charge that increases the
$1,000,000 lifetime maximum to $2,000,000. The administrative expense has also been
increased 0.4%, due to the Minnesota Premium Tax, that was effective January 1, 1996.
Gold Net will be replacing PCS on September 1, 1996. The claims have been reduced
0.5% because it is anticipated that drug claims will be lower with Gold Net. This is
reflected on the Renewal Development Summary.
Please see the 1996 Group Renewal Bulletins for other changes that will take effect on
the renewal date.
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Blue Cross and Blue Shield of A1innesota is an independent licensee of the Blue Cross and Blue Shield Association
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