Order No. 25621
Approval of renewal
of Kerr County Group
Health & Life Benefit
Program with Employee
Benefit Administrators, Inc.
October 26, 1998
Vol V Page 840
URUER NU. c5E21
RPFRDVRL OF RENEWRL FOR KERB CDUNTY GROUP
FiERLTH & LIFE PENEFIT pROGRRM WITH
EMPLOYEE PENEFIT RDMINISTRATDRS INC.
On this day the 2E,th day of Uctober~, 1998 upon motion made by
Judge Denson, seconded by Commissioner- Baldwin, the Court
unanimously approved by a vote of 5-0-0, the renewal for F;er•r
Co~_inty Gro~.tp Health and Life Penefit F'r•ogram with Employee
Benefit Rdministrators Inc.

MADE BY: Bryan Finley/Ray Bothwell OFFICE:
NlEETINGDATE: October 26, 1998 TIMEpREFERRED: 9:30 a. m.
$jJBJECT: (pLEASEBE.SPECIFIC) Consider and discuss renewal for Kerr County
Group Health & Life benefit program and further discuss
.possible Co-op with other local governmental entities.
EXECUTIVE SESSION REQUESTED: (PLEASE STATE REASON)
ESTIMATID LENGTH OF PRESENTATION:
"F PERSONNEL MATTER -NAME OF EMPLOYEE:
NAME OF PERSON ADDRESSING THE COURT:
10 min.
Bryan Finley/Ray Bothwell
Time for submitting this request for Court to assure that the matter is posted in accordance with Title 5,
Chapter 551 aad 552, Government Code, is as follows:
Meeting scheduled for Mondays: 5:00 P.M. previous Monday.
THIS REQUEST RECEIVED BY:
THIS REQUEST RECEIVED ON:


All Agenda Requests will be screened by the County Judge's Office to determine if adequate information has
been prepared for the Court's formal consideration and action at time of Court Meetings. Your cooperation will
be appraiated and cotrttibute towards you request being addressed at the earliest opportunity. See Agenda
Request Rules Adopted by Commissioners' Court.
r^
COMMISSIONERS' COURT AGENDA REQUEST
+~+_EMPLOYEE BINEHTI' ADb9TT~S'TRI~LTORS, INC.
(I3CF?ISED'i~lIAD PAA7Y ADMINI57RATOA)

r-
October 14, 1998
Ms. Barbara Nemec, Treasurer
Kerr County
700 Main
Kerrville, Texas 78028
Dear Ms. Nemec,
Enclosed are the renewal rates for the Kerr County Group Health 8t Life benefit program
administered by Employee Benefit Administrators, Inc. (EBA).
Per our several conversations, EBA solicited proposals from eight (8) of the major reinsurance
carriers in the country. After receiving these proposals and substantial negotiations, we are
recommending acceptance of the proposal from the R E. Moulton Company utilizing the
Transamerica Life and Annuity Company. Transamerica is rated A+ (superior) by the A.M. Best
Company.
Due to the projected increase in prescription dnlg costs, we are proposing a change in the Rx card
program. The proposal is for "generic mandatory" when available. Should the employee or the
employees' physician insist on "brand" when generic is available-the employee will pay the
difference in the cost of generic and brand.
In addition we are proposing the inclusion of the Lab One card prograzn in the County's benefit
package. This card, when used by the employee, will reduce the cost of labratory related fees to
the Kerr County program and eliminate the cost to the employee. Both of these program dditions
will require employee education on their use and the personal positive impact of each.
The renewal rates are:
Employee	Employee	Employee	Employee
Orily	Child(ren)	Spouse	Family
Fixed Costs $ 54.31	$ 92.49	$ 92.44	$ 92.44
Self-Funding 174.05	277.53	354	434.4
Total $228.36	$370.02	$446.94	$526.94
Note: Employee only rate is same as prior year, with dependent costs increasing only 4-5%.
6800 Pak Tm Blyd, #175-Wex San Antado, TX 782(3 (2l~)738-1444 -(210)'738-1448 Faz
Based upon the employes and dependent units as of the October 1998 billing, the monthly claims
" funding will be funded below the recommended level by 55,498.00. This shortage in the claims
funding will be recovered if necessary from employee health benefit reserves presently in place in
the County's account and reserve account maintained by EBA -
Reinsurance carrier's contract
Kerr Coumy funding level
Estimated Claims Shortage
Monthly Annual
550,617. 5607,404.
4 118 41 417
5 5,499. 565,987.
Reserve account funds will be used only if the actual claims incurred and paid exceed the monthly
funding level established in the contract. Reserve funds maintained by EBA would be utilized
first. Should those finds be exhausted, funding would then be requested from the County's
reserve account, up to a maximum of $45,000.
Thank you for your departrnent's attention to the benefit package provided Yo your Courity
employees and dependents. Witb your efforts coupled with the EBA staff efforts, we expect the
continued level of administrative results.
Should you have any question or comments on this renewal package please call me.
Sincerely,
,-~ ~~~ pad;
Ray Rothwfell
cc: Bryan Finley