Title
Public Health Department recommending renewal of California State Association of Counties (CSAC) Excess Insurance Authority (EIA) catastrophic inmate medical insurance program for Fiscal Year 2008-2009 in the amount of $111,933.
FUNDING: County General Fund.
Body
BUDGET SUMMARY:
Total Estimated Cost $111,933
Funding
Budgeted $90,000
New Funding $
Savings $
Other $
Total Funding Available $90,000
Change To Net County Cost $21,933
Fiscal Impact/Change to Net County Cost: Increase in cost to General Fund in the amount of $21,933. Additional funding to be included in the FY 2008-09 Budget Addenda.
Background: At its meeting on February 13, 2007, the Board directed Public Health and Risk Management to obtain insurance for the County through CSAC EIA to cover the costs associated with jail medical care over and above those covered by the correctional medical services contractor, California Forensic Medical Group (CFMG). Per the medical services contract, CFMG's financial responsibility for inmate hospitalizations is limited.
The original insurance policy term was February 2007 through February 2008, with a deductible amount of $15,000, which coincided with the hospitalization liability limit set in the service agreement with CFMG at that time. An interim policy to bridge the period from February 2008 through June 30, 2008 was obtained so the policy term would coincide with the County's fiscal year. During the interim policy renewal, the underwriters evaluated the inmate medical care history for years 2003 through 2007; based on that review, the lowest deductible offered was $20,000.
At that time, Public Health evaluated the potential risk created by the $5,000 gap between the CFMG financial liability limit for inmate hospitalization episodes and the insurance policy deductible and determined that an amendment to the CFMG agreement raising the limit from $15,000 to $20,000...
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