SUBJECT:
Title
Request Approval of Long Term Disability Insurance Renewal with The Standard Insurance Company (Budget Impact - Expenditure of $735,000)
Body
|
INITIATOR: |
DEPARTMENT: |
|
Sara Caron, Director |
Human Resources |
DESCRIPTION/BACKGROUND:
The proposed renewal from The Standard represents no rate increase as it is the second year of a two-year rate guarantee. Marion County pays the Long Term Disability (LTD) premium based on the premium rate per $100 of covered payroll.
The LTD policy provides income replacement coverage at 66 2/3% of salary up to $10,000 maximum, to an employee who is unable to perform the essential functions of their own job for up to 24 months following a 120-day waiting period. Coverage may continue past 24 months only if employee is approved by Social Security as totally disabled and unable to perform the essential functions of any job.
The Standard has been the County’s LTD insurance company for many years and has provided excellent coverage and service to Marion County and their employees.
COVERAGE CURRENT RATE RENEWAL RATE
66 2/3% of Salary .389 per $100 covered payroll .389 per $100 covered payroll
BUDGET/IMPACT:
Expenditure of $735,000; total LTD premiums are estimated at $735,000 which is included in the proposed FY 2025-26 Budget
RECOMMENDED ACTION:
Recommended action
Motion to approve the Long Term Disability renewal with The Standard Insurance Company to be effective October 1, 2025.
end