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CM-2015-958 - 10/19/2015City of Round Rock ROUND ROCK TEXAS Agenda Item Summary Agenda Number: Title: Employers Agreement for Employees Paid Benefits with AIG Benefits Solutions Type: City Manager Item Governing Body: City Manager Approval Agenda Date: 10/23/2015 Dept Director: Cost: Indexes: Attachments: AIG Employee Paid Benefits 10 19 15 Department: Text of Legislative File CM -2015-958 Employers Agreement for Employees Paid Benefits with AIG Benefits Solutions Consider executing an Employee Agreement with AIG Benefits Solutions for employee paid voluntary benefits (Critical Illness and Accident Insurance). This document outlines how the employee deductions will be sent to AIG for these voluntary benefits. Staff recommends approval City of Round Rock Page 1 Printed on 1012912015 LEGAL DEPARTMENT APPROVAL FOR CITY COUNCIL/CITY MANAGER ACTION Required for Submission of ALL City Council and City Manager Items Department Name: HR Project Mgr/Resource: Valerie Francois Council Action: ORDINANCE Agenda wording City Manager Approval Employers Agreement for Employee Paid Project Name: Benefits Contractor/Vendor: AIG Benefits Solutions FXX-J RESOLUTION CMA Wording Consider executing an Employee Agreement with AIG Benefits Solutions for employee paid benefits. Attorney Approval Attorney Date t 6 L,6 bs O:\wdox\SCClnts\0124\1501\MISC\00344303.XLS Updated 6/3/08 AIG Benefit Solutions Underwritten by American General Life Insurance Company* Houston, Texas Benefit Solutions The United States Life Insurance Company In the City of New York New York,, New York Employers Agreement National Union Fire Insurance Company of Pittsburgh, PA For Employee Paid Products New York, New York Administrative Office: P. O. Box 9000 Amarillo, TX 79105 'This company does not solicit business in New York Phone: (800) 231-3655 & Fax: (713) 831-3929 Instructions: Complete Sections 1 through 4. Section 1: Employer Information City of Round Rock Employer Name 231 E. Main Street Round Rock, TX 78664 Employer Address City, State Zip Jay Light Contact Name andTitle Phone Email Number of Eligible Employees 805 Full-time Part-time Years in Business 205 Have you had any notable increases or decreases in the number of employees over the past 12 months? ❑ Yes 0 No If yes, please explain: Number of Locations 1 Type of Business Government Municipality SIC Code Section 2: Product Information Life Products Group - Master Application must be completed. Individual ❑ Personal Universal Life In addition to employees, coverage will be offered to: ❑ Spouse ❑ Dependent Children ❑ Waiver of Monthly Deduction Rider ❑ Accidental Death Benefit Rider ❑Terminal Illness Benefit Rider ❑ Children's Insurance Benefit Rider ❑ Future Guaranteed Insurability Rider (FGIR) ❑ PersonalTerm Life ❑ GroupTerm Life ❑ Group AD & D ❑ Waiver of Monthly Deduction Rider ❑Group Supplemental AD & D ❑Accidental Death Benefit Rider ❑Group Supplemental Life ❑Terminal Illness Benefit Rider ❑ Children's Insurance Benefit Rider Accident and Health Products Group - Master Application must be completed. Individual ❑ Personal Critical Illness ❑ With cancer 0 Group Critical Illness coverage ❑ Without cancer coverage ❑ Benefit Extension Rider. Rider is available with cancer coverage only. ❑ Loss of Independent Living Rider ❑ Medical Personnel/HIV Benefit Rider Section 125 ❑ Yes ❑ No AIGB100413 803/14 Accident and Health Products Individual Group — Master Application must be completed. ❑ Personal Accident ❑ 24 hour ❑ Off -the -job ® Group Hospital Accident ❑ Group Hospital Indemnity ❑ Accident Only Disability Income Rider ❑ 24 hour ❑ Off -the -job MO MS MT NC ND NE ❑ AD&D Rider NM NV NY OH OK OR ❑ Hospital Cash Rider SC SD TN TX X UT VA Section 125 ❑Yes ❑ No WI WV WY ❑ Group Short -Term Disability ❑ Group Long -Term Disability Benefit Period* Elimination Period* Same as above *Benefit & Elimination period may vary by state 3mos 07n014/14 6 mos ❑ 7/7 ❑ 14/14 ❑ 30/30 12 mos ❑ 7/7 [114/14 ❑ 30/30 ❑ 90/90 ❑ 180/180 24 mos 0 14/14 0 30/30 13 90/90 ❑ 180/180 Section 125 ❑ Yes ❑ No Employee Information: Please indicate the number of Employees in each state. AL AK AR AZ CA CO CT DC DE FL GA HI IA ID IL IN KS KY LA MA MD ME MI MN MO MS MT NC ND NE NH NJ NM NV NY OH OK OR PA RI SC SD TN TX X UT VA VT WA WI WV WY Note. Not all products or riders are approved in all states. Section 3: Billing Information Same as above Billing Contact Name Billing Address City, State Zip Bill should be mailed to the attention of (please write name) Phone Fax Email Do you have a centralized payroll? OYes ❑ No If no, how many payroll centers do you have? How are the employees paid? ❑ Weekly ❑ Bi -Weekly ❑ Monthly m Semi-monthly ❑ Other ❑ Skip Period Number of insurance deductions per year 24 What is the first deduction date? 12.20.2015 How are employees identified? ❑ Social Security No. m Employee ID No. How will deductions be administered? 0 Electronic transfer of payroll data ❑ Paper -bill 2 AIG8100413 803/14 Section 4: Authorization Upon the written approval of American General Life Companies to include its domestic life insurance affiliates (collectively AGLC") regarding a voluntary insurance program with the Employer identified above ("Employer"), Employer agreesto establish a voluntary insurance program (the "Program") under which its eligible employees ("Employees") may purchase individual life and/or accident and health products issued by AGLC and arrange for payment of the premiums for such insurance by payroll deduction. Accordingly, Employer and AGLC agree as follows: 1. Employer agrees to allow AGLC representatives reasonable access to eligible Employees during regular working hours for the purpose of promoting, explaining and/or enrolling such Employees in the Program on at least an annual basis. Employer agrees to provide AGLC representatives with a private area conducive to Employee confidentiality in which to meet with such Employees. 2. Employer agrees to honor and administer all requests from eligible Employees participating in the Program ("Participant") for periodic payroll deductions for the payment of insurance premiums and/or deposits as specified by Participant. 3. AGLC agrees to submit to Employer, if requested by Employer, periodic statements indicating the amount of premium to be deducted from each Participant's payroll. Employer agrees to remitto AGLC all payroll deductions accumulated on behalf of each Participant, in the amounts indicated in periodic statements furnished to Employer by AGLC, in a timely manner. 4. Employer and AGLC may terminate the Program upon 60 calendar days written notice to the nonterminating party. Following such termination, a Participant who is eligible to maintain insurance coverage must pay premiums directly to AGLC. 5. If a Participant elects to terminate his or her participation in the Program, Employer agrees to notify AGLC of such termination no later than the date of Employer's next remittance to AGLC of the accumulated deductions following such termination. 6. Employer and AGLC agree that Employer is not responsible for the premium payment of any Participant after the termination of such Participant's employment. However, Employer shall be responsible for remitting all funds which were deducted from such Participants payroll prior to the effective date of termination of Participant's employment. 7. Each party agrees to treat confidentially, all information, records and materials obtained by it in connection with this Agreement and any enrollment of Employees in the Program. 8. This Agreement does not amend or alter the terms of any individual life and/or accident and health products or contract. 9. THISAGREEMENT SHALL BE CONSTRUEDAND SHALL BE IN FORCE IN ACCORDANCEWITHTHE LAWS OF THE STATE OFTEXAS. This agreement, including the data and information provided by Employer and all representations, warranties and agreements set forth in this Agreement, constitutes the entire understanding and agreement between the Employer and AGLC. Employer understands that no Program will be deemed to be established without the prior written approval of AGLC. By signing this Agreement, Employer represents and warrants that Employer has reviewed the information contained in this Employer's Agreement, and that the information is true, correct and complete in all respects. Employer understands and agrees that AGLC will rely on the information set forth in this Employer's Agreement in determining an offer for insurance coverage, if any, for eligible employees of Employer. In this regard, AGLC reserves the right, at any time, to change or withdraw an offer provided to Employer, in the event of incorrect or incomplete information or other related errors in connection with this Employer's Agreement. Employer will be promptly notified in writing by AGLC in the event of any changes to or withdrawal of AGLC offer for insurance coverage for eligible employees of Employer. Employer: Signature: Print Name: Title: Date: American General Life Insurance Company Signed: Print Name: Date: N,2015 -46T an R� a Producer: r Signature: Print Name: Harold R Denton 6Z J Title: Senior VP Date: 10/15/2015 MG100413 803/14