Common use of Future Renewals Clause in Contracts

Future Renewals. Upon the County’s receipt of the renewals for its health plans for subsequent plan years (e.g., the Teamsters Trust Anthem PPO Plan (“Teamsters Plan”), Xxxxxx Permanente (“KP”), and Western Health Advantage (“WHA”))1, if the Teamsters Plan’s required renewal premium rates exceed each of the competing carriers (e.g., KP and WHA) renewal rates by more than15.0%, the Teamsters Plan will be automatically discontinued as an offering to all County participants as of January 1st of the immediately following calendar year. The calculation to determine the total cost of each plan will be: (Employee only total enrollment x health plan employee only monthly rate) + (Employee+1 total enrollment x health plan employee + 1 monthly rate) + (Employee+family total enrollment x health plan employee + family monthly rate) = Plan cost To eliminate enrollment (i.e., rate tier) differences, the same enrollment figures will be used for all Plans. The County’s total combined enrollment in its health plans (e.g., Teamsters Plan, WHA and KP), excluding Medicare, will be used in calculating the aggregate rate difference for the Teamsters Plan compared to the competing plans (e.g., WHA and KP). To isolate the true sustainability aspect of the plans, the total premium rates will be used for this calculation. CALCULATION: All of the County’s health plans will have their total combined enrollment multiplied by each health plan’s renewal rates. For Kaiser, the comparison will be to its highest cost plan (e.g., Plan L). If the Teamsters Plan renewal’s monthly premium is the highest by more than15.0%, the County will discontinue offering the 1 These plans are named for comparison purposes only. Should the County offer health plans that differ from the ones listed, the 15% figure will be based upon the rates of the health plans the County intends to offer. Naming of the plans is illustrative only of the current make-up of the County health plans and is not intended to be deemed as having been bargained. Teamsters PPO plan to County participants effective January 1st of the immediately following calendar year. ILLUSTRATIVE EXAMPLE OF THE CALCULATION: Enrollment: Employee only Employee + 1 Employee + family Teamsters Plan 250 250 50 WHA 50 20 10 Kaiser (combined Plan L and Plan S, excluding Medicare retirees) 1200 500 500 Total Enrollment 1500 770 560

Future Renewals. Upon the County’s receipt of the renewals for its health plans for subsequent plan years (e.g., the Teamsters Trust Anthem PPO Plan (“Teamsters Plan”), Xxxxxx Permanente (“KP”), and Western Health Advantage (“WHA”))1, if the Teamsters Plan’s required renewal premium rates exceed each of the competing carriers (e.g., KP and WHA) renewal rates by more than15.0%, the Teamsters Plan will be automatically discontinued as an offering to all County of Marin participants as of January 1st of the immediately following calendar year. The calculation to determine the total cost of each plan will be: (Employee only total enrollment x health plan employee only monthly rate) + (Employee+1 total enrollment x health plan employee + 1 monthly rate) + (Employee+family total enrollment x health plan employee + family monthly rate) = Plan cost To eliminate enrollment (i.e., rate tier) differences, the same enrollment figures will be used for all Plans. The County’s total combined enrollment in its health plans (e.g., Teamsters Plan, WHA and KP), excluding Medicare, will be used in calculating the aggregate rate difference for the Teamsters 1 These plans are named for comparison purposes only. Should the County offer health plans that differ from the ones listed, the 15% figure will be based upon the rates of the health plans the County intends to offer. Naming of the plans is illustrative only of the current make-up of the County health plans and is not intended to be deemed as having been bargained. Plan compared to the competing plans (e.g., WHA and KP). To isolate the true sustainability aspect of the plans, the total premium rates will be used for this calculation. CALCULATION: All of the County’s health plans will have their total combined enrollment multiplied by each health plan’s renewal rates. For Kaiser, the comparison will be to its highest cost plan (e.g., Plan L). If the Teamsters Plan renewal’s monthly premium is the highest by more than15.0than15%, the County will discontinue offering the 1 These plans are named for comparison purposes only. Should the County offer health plans that differ from the ones listed, the 15% figure will be based upon the rates of the health plans the County intends to offer. Naming of the plans is illustrative only of the current make-up of the County health plans and is not intended to be deemed as having been bargained. Teamsters PPO plan to County of Marin participants effective January 1st of the immediately following calendar year. ILLUSTRATIVE EXAMPLE OF THE CALCULATION: Enrollment: Employee only Employee + 1 Employee + family Teamsters Plan 250 250 50 WHA 50 20 10 Kaiser (combined Plan L and Plan S, excluding Medicare retirees) 1200 500 500 Total Enrollment 1500 770 560.

Future Renewals. Upon the County’s receipt of the renewals for its health plans for subsequent plan years (e.g., the Teamsters Trust Anthem PPO Plan (“Teamsters Plan”), Xxxxxx Permanente (“KP”), and Western Health Advantage (“WHA”))1, if the Teamsters Plan’s required renewal premium rates exceed each of the competing carriers (e.g., KP and WHA) renewal rates by more than15.0%, the Teamsters Plan will be automatically discontinued as an offering to all County participants as of January 1st of the immediately following calendar year. The calculation to determine the total cost of each plan will be: (Employee only total enrollment x health plan employee only monthly rate) + (Employee+1 total enrollment x health plan employee + 1 monthly rate) + (Employee+family total enrollment x health plan employee + family monthly rate) = Plan cost To eliminate enrollment (i.e., rate tier) differences, the same enrollment figures will be used for all Plans. The County’s total combined enrollment in its health plans (e.g., Teamsters Plan, WHA and KP), excluding Medicare, will be used in calculating the aggregate rate difference for the Teamsters Plan compared to the competing plans (e.g., WHA and KP). To isolate the true sustainability aspect of the plans, the total premium rates will be used for this calculation. CALCULATION: All of the County’s health plans will have their total combined enrollment multiplied by each health plan’s renewal rates. For Kaiser, the comparison will be to its highest cost plan (e.g., Plan L). If the Teamsters Plan renewal’s monthly premium is the highest by more than15.0%, the County will discontinue offering the 1 These plans are named for comparison purposes only. Should the County offer health plans that differ from the ones listed, the 15% figure will be based upon the rates of the health plans the County intends to offer. Naming of the plans is illustrative only of the current make-up of the County health plans and is not intended to be deemed as having been bargained. Teamsters PPO plan to County participants effective January 1st of the immediately following calendar year. ILLUSTRATIVE EXAMPLE OF THE CALCULATION: Enrollment: Employee only Employee + 1 Employee + family Teamsters Plan 250 250 50 WHA 50 20 10 Kaiser (combined Plan L and Plan S, excluding Medicare retirees) 1200 500 500 Total Enrollment 1500 770 560

Future Renewals. Upon the County’s receipt of the renewals for its health plans for subsequent plan years (e.g., the Teamsters Trust Anthem PPO Plan (“Teamsters Plan”), Xxxxxx Permanente (“KP”), and Western Health Advantage (“WHA”))1, if the Teamsters Plan’s required renewal premium rates exceed each of the competing carriers (e.g., KP and WHA) renewal rates by more than15.0%, the Teamsters Plan will be automatically discontinued as an offering to all County of Marin participants as of January 1st of the immediately following calendar year. The calculation to determine the total cost of each plan will be: (Employee only total enrollment x health plan employee only monthly rate) + (Employee+1 total enrollment x health plan employee + 1 monthly rate) + (Employee+family total enrollment x health plan employee + family monthly rate) = Plan cost To eliminate enrollment (i.e., rate tier) differences, the same enrollment figures will be used for all Plans. The County’s total combined enrollment in its health plans (e.g., Teamsters Plan, WHA and KP), excluding Medicare, will be used in calculating the aggregate rate difference for the Teamsters Plan compared to the competing plans (e.g., WHA and KP). To isolate the true sustainability aspect of the plans, the total premium rates will be used for this calculation. CALCULATION: All of the County’s health plans will have their total combined enrollment multiplied by each health plan’s renewal rates. For Kaiser, the comparison will be to its highest cost plan (e.g., Plan L). If the Teamsters Plan renewal’s monthly premium is the highest by more than15.0than15%, the County will discontinue offering the 1 These plans are named for comparison purposes only. Should the County offer health plans that differ from the ones listed, the 15% figure will be based upon the rates of the health plans the County intends to offer. Naming of the plans is illustrative only of the current make-up of the County health plans and is not intended to be deemed as having been bargained. County will discontinue offering the Teamsters PPO plan to County of Marin participants effective January 1st of the immediately following calendar year. ILLUSTRATIVE EXAMPLE OF THE CALCULATION: Enrollment: Employee only Employee + 1 Employee + family Teamsters Plan 250 250 50 WHA 50 20 10 Kaiser (combined Plan L and Plan S, excluding Medicare retirees) 1200 500 500 Total Enrollment 1500 770 560.