In 2018, the County of El Paso awarded a Request for Proposal (RFP) 18-030 to Aetna Life Insurance Company to serve as the County’s Third Party Administrator (TPA) for the County’s Health and Dental Plan and related benefits. Based on the RFP, the County with the assistance of our Health Consultants and Aetna Life Insurance Company developed a 1st and 2nd Amendment to the existing Master Service Agreement. The Master Service Agreement sets forth the terms and conditions under which Aetna agrees to render Services and under which the County agrees to receive and compensate Aetna Life Insurance Company for such services. 

The services include: TPA claims administration for medical and dental plans, Managed Medical and Dental Provider Network, Pharmacy Benefit Management programs, Stop Loss Reinsurance, COBRA/HIPAA administration, Disease Management programs, Wellness programs and initiatives, Employee Assistance Programs, Retiree Medical Insurance, Medicare Advantage Plan, Third Party Administrator eligibility services, and IRS Section 125 Pre Tax Plan Administration.

The term of the contract is for a 3-year period with a renewal option of three additional 1-year periods. This Amendment represents the third of three renewal options with a term beginning on January 1, 2024 and ending on December 31, 2024.

The Amendment maintains the existing terms which will result in 3% medical and 2.83% dental fee increase to the County. The County’s Risk Pool Board has recommended approval of the Sixth Amendment to the Aetna Master Service Agreement during their regular board meeting on November 15, 2023.

The County Attorney’s Office has conducted a legal review of the Sixth Amendment to the Master Service Agreement with Aetna Life Insurance Company.  (2023-0873)

3% increase in Medical and 2.83% increase in Dental Administrative Costs associated with the Master Service Agreement are funded through the Risk Pool Fund and results in a $49.26 Per Employee Per Month (PEPM) or estimated $43,517 annual increase in fees for Health Services, and $2.54 PEPM or estimated $1,577 annual increase in fees for Dental Services. A detailed description of the fees are contained within the Master Service Agreement and exhibit documents. 

Plan year 2019 Total Medical and Dental: $1,316,630

Plan year 2020 Total Medical and Dental: $1,392,697

Plan year 2021 Total Medical and Dental: $1,426,110

Plan year 2022 Total Medical and Dental: $1,443,895

Plan year 2023 Total Medical and Dental: $1,485,885

Plan year 2024 Estimated Total Medical and Dental: $1,556,321

IS-HEALTH-HEALTH/DENTAL CLAIMS

COIS-5001-0000000-431-10-10000-0001-00000-540007-

December 3, 2018, Item #18, Commissioners Court awarded RFP#18-030 to Aetna Life Insurance Company to serve as the Third Party Administrator for Health and Dental Benefits for the County of El Paso.

October 7, 2019, Item #13, Commissioners Court approved the 1^st and 2^nd amendment to the Master Service Agreement with Aetna Life Insurance Company to serve as the Third Party Administrator for Health and Dental Benefits for the County of El Paso.

September 20, 2021, Item #4J, Commissioners Court approved the 3rd amendment to the Master Service Agreement with Aetna Life Insurance Company to serve as the Third Party Administrator for Health and Dental Benefits for the County of El Paso.

December 12, 2022, Item #18, Commissioners Court approved the second renewal option to the Master Service Agreement with Aetna Life Insurance Company to serve as the Third Party Administrator for Health and Dental Benefits for the County of El Paso.