Agenda - Council - 01/08/1991 - Laserfiche WebLink

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Case SHORT TERM DISABILITY FOR THE RAMSEY FIRE DEPARTMENT By: Sandra Ashley, Finance~ Officer Kay McAIoney, Personnel Coordinator Background: A case for short-term disability for the Ramsey Fire Department was presented to City Council on December 11, 1990. The purpose of the plan is to alleviate some of the disparities between the Workers' Compensation received by the Fire Fighters' when Injured on duty and the Fire Fighters' regular occupation income. At the December 11, 1990 City Council meeting, Staff was directed to seek and receive bids for the short-term disability plan for the Fire Department. Allan Roth from the Alexander Todd Group and Michael Hadtrath, the City of Ramsey's Agent of Record, were contacted for bids. Both individuals presented the Hartford's Volunteer Fire Fighters Accident Insurance Program that would cover the City Volunteer Fire Fighters while actually on duty - at fires, going to or from fires, at a fire drill, at a parade or at a test or trial of any fire fighting apparatus, or riding in or on fire company apparatus going to or returning from a fire drill, a parade or a test or trial of any fire fighting apparatus; also, while on duty while taking part as volunteer members in any other regularly approved, supervised activity of the fire department. The Hartford Plan would provide security including income protection against loss of earnings if disabled and indemnity for loss of life, limb, sight, or hearing. Benefits would begin on the first day of disability and continue to age 65. During the first 104 weeks, benefits are paid when the insured is unable to work at his/her regular occupation due to accidental injury. Thereafter benefits continue so long as disability prevents the insured from working at any occupation for which he/she is or can be reasonably fitted by education, training or experience. Annual premiums for the Plan are determined by "apparatus" which includes any piece of apparatus normally used by a fire department or company or ambulance, first-aid or rescue squad, except a private passenger car provided for the transportation of the Chief or other officer. At the current time, the City of Ramsey has three pieces of apparatus. The cost increases approximately 15% per additional apparatus. Maximum indemnity for total disability due to injury is $100 per week to age 65, approximately $433 monthly, for companies insured by Workers' Compensation as is the City of Ramsey. The City has received bids for the Hartford's Volunteer Fire Fighters Accident Insurance Program from the City of Ramsey's Agent of Record Michael Hadtrath and Allan Roth from Alexander Todd. Both bids are for $495 annually; however, Mr. Roth has stated that If awarded the bid he will donate 16% or approximately $80 to the Fire Fighters' Relief Association General Fund. The City's Finance Officer contacted Michael Hadtrath and asked if his bid was net of commission. Mr. Hadtrath stated that he really had not reviewed the details of the bid but was willing to adjust his bid to the same amount as Mr. Roth's. The City's contract with Mr. Hadtrath specifies that all charges to the City shall be net of commission, if permitted by Insurance companies. If not, Mr. Hadtrath's annual compensation as contained in the agreement is to be reduced by any direct or contingent commissions received or pending.