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• • <br />Page 2 <br />B. Survivor Medical Plan Coverage <br />In order to ensure that retirees or employees' dependents are <br />not left without medical care coverage if the retiree or <br />employee were to pass on, staff is recommending that the City <br />provide continued medical plan coverage for the eligible <br />surviving dependents of a deceased employee or retiree. <br />Eligible for this dependent coverage will be spouses who are <br />covered under the City's Plan at the time of the death of the <br />employee or retiree and who are not eligible for coverage under <br />any other group medical plan. Additionally, dependents who are <br />covered at the time of the death and are eligible according to <br />the Medical Plan's definition of a dependent child will also be <br />eligible for this new coverage. <br />In the case of dependent, the Survivor Medical Plan coverage <br />will remain in effect for the number of months equalling the <br />employee's tenure with the City. This coverage will also <br />terminate for the surviving spouse and dependent children upon <br />remarriage or upon becoming eligible for other group medical <br />coverage. <br />By continuing the contribution for coverage of dependents by <br />the City, adequate funding can be provided, as no additional <br />medical care risk is presented. However, contributions from <br />retirees of age 50 and above who are not eligible for Medicare, <br />should continue to be required of the covered survivors. <br />These two enhancements to the City's benefits package are <br />highly recommended to ensure quality medical care to retirees <br />and survivors. The short term costs of the recommended <br />enhancements can be absorbed relatively easily by the City's <br />current medical benefits package. <br />RH/DM/me <br />