Summary of Changes for 2011 Plan Year Debit Card Effective with the 2011 plan year, those employees enrolled in a Medical Reimbursement Account will receive a Debit Card.. Colonial Insu
Trang 1University Open Enrollment IT & Benefits
Conference Call Minutes
D ATE July 28, 2010
T IME 3:30 p.m to 5:30 p.m.
L OCATION Tallahassee, Florida
F ACILITATOR Jimmy Cox
N OTE T AKER Verla Lawson
A TTENDEES Florida Atlantic University, Florida State University, Florida A
& M University, University of Florida, University of Central Florida, University of West Florida, University of South Florida, University of North Florida, New College, Florida International University, Florida Gulf Coast University, Jimmy Cox, Mike Waller, David DiSalvo, Shelby Jefferson, James West, Keith Young, Carol Broome, Northgate-Arinso IT staff and Verla Lawson
OPENING AND INTRODUCTIONS
Verla Lawson opened the meeting and introduced the Department of Management Services (DMS) team and the Northgate-Arinso (NGA) IT team
Summary of Changes for 2011 Plan Year
Debit Card
Effective with the 2011 plan year, those employees enrolled in a Medical Reimbursement Account will receive a Debit Card Employees will be able to use the card to pay for eligible health care expenses such as: prescription drugs, co-payments for medical, dental or vision services, etc Employees will still be able to file by manually if they choose Use of the Debit Card is not mandatory As we get closer to open enrollment for the 2011 plan year,
additional information on the new myMRA Debit Card will be provided
Company Name Changes
Trang 2Effective immediately, the following companies will have a new name VISTA will now be known as Coventry Health Plan and Philadelphia American Life Insurance Company (PALIC) name will change to New Era an “Affiliate of PALIC” These changes will result in new plan codes to ensure the integrity
of the historical records The new plan codes will be provided as part of the SUS workbook updates In the People First system these changes will be date effective with the 2011 plan year
Rate Changes
As soon as all rates are finalized by the Division of State Group Insurance, we will provide you with an update Rates will be provided in the updated SUS workbook
HMO Coverage Area
Capital Health Plan has added Calhoun and Liberty counties to their service area No other HMO coverage area changes are known at this time
Colonial Insurance Changes
Effective January 1, 2011 Colonial will no long enroll employees into plan codes 6600 and 7500 Current enrollees will remain in the plan, but may not make changes to these plans Any change will result in the termination of the 6600 or 7500 plan and activation of the new Colonial plan code of 6601 There will be no underwriting requirement for this new Colonial plan With this product, they will offer employee and employee plus family options
Life Insurance
The current basic life insurance policy will end December 31, 2010 The new basic life insurance policy will go into effect January 1, 2011 All employees
no matter what classification or position title will only have a maximum of
$25,000 of state life insurance coverage Employees will not have to contribute towards this policy Each employer is responsible for paying the full premium The cost per employee will be provided as part of the SUS workbook updates All full time employees will automatically be enrolled into the $25,000 policy The new plan is not reduced at age 70
All part-time employees who are currently enrolled in basic life insurance will automatically be enrolled in the new plan Part-time employees who are not currently enrolled in the basic life insurance plan will not be automatically
Trang 3enrolled in the new plan Part-time employees will be responsible for a portion of the premium in correlation to their FTE (e.g., a part-time employee with an FTE of 0.50 will be responsible for paying ½ of the cost for the plan)
All employees will be able to change their elections for this plan during the
2011 plan year open enrollment period
Question: How will new hires beginning in October 2010 get processed? Answer: If an employee hired in October chooses a November 1, 2010
effective date, they will be enrolled in the current life insurance plan with all the current rules applied (e.g., 1.5 or 2.0 times their annual salary) Simultaneously, in December for January 2011 coverage, their coverage will automatically be converted to $25,000 basic life
Question: How will the change transmit on the 002 File?
Answer: Northgate will continue to transmit existing codes The change
will occur on the back end by Northgate
Question: Will Universities receive the same plan code for basic life? Will
there be a file terminating current policy and will it show a new enrollment with for the $25,000?
Answer: The current proposed recommendation is not to terminate the
existing policy but change the amount to reflect the $25,000 This process is currently under review and we will update you on this issue as soon as the resolution is confirmed
Question: How will part-time employees be notified of the change in
premium?
Answer: The Division of State Group Insurance (DSGI) will distribute a
Newsletter in the beginning of September Additionally, the Benefits Guide will have a summary of changes that will include information about this change
Optional Life
The current $500,000 maximum benefit has been changed to $1 million
The tier level has been increased from a maximum of 5 times salary to
7 times salary
If an employee elects an optional life insurance election that will either change their elections to 6 or 7 times salary, or change their policy amount to an amount between $500,000 and $1 million, medical underwriting is required Any election change to 6 or 7 times salary
Trang 4will require medical underwriting Any tier change (1 – 7) that results
in a policy value between $500,000 and $1 million will require medical underwriting
Employees whose current optional life insurance tier election times their salary is greater than $500,000, will remain capped at $500,000
To receive the higher policy value the individuals must clear medical underwriting
Current employees who are not currently enrolled in optional life insurance will be able to enroll in optional life insurance for one multiple during the 2011 plan year open enrollment without having to
go through the medical underwriting requirements However, if they choose to enroll in a multiple greater than one they will receive guaranteed issue for one multiple and will have to clear medical underwriting for the additional requested coverage
Employee currently enrolled optional life insurance who wish to change their multiple by more than one tier, will receive guaranteed issue for one multiple up (as long as one multiple does not increase their multiple to 6 or 7 times salary and does not take their policy over
$500,000) and will have to clear medical underwriting for the additional requested coverage
Salary changes will not result in required medical underwriting, as long
as the individual does not process a tier change in conjunction with the salary change
The optional life insurance values on the BNO_002 will be changed as follows: 1 – 7 will be used for employees who are enrolled in optional life insurance and whose policy value does not have a cap applied A –
G will be used when employees are enrolled in optional life insurance and their policy has the $500,000 cap applied
The following are some examples for Optional Life Insurance to help clarify how the changes will be applied:
Example 1: Employee making $25,000 a year:
Guaranteed Issue (GI) basis Note - applies to this Open Enrollment Only
declined by underwriting - should get 1x as this is offered on a GI basis Note – applies only during Open Enrollment
approved - should get 3x
basis
Trang 5 Currently has 1x Optional - requests 3x Needs Underwriting Declined
by underwriting - should get 2x as this is offered on a GI basis
Approved by underwriting - should get 3x
because this is over the GI limit If approved - 6x If declined - remains
at 5x
requires underwriting
Employee making $90,000 a year:
Guaranteed Issue (GI) basis Note - applies to this Open Enrollment Only
declined by underwriting - should get 1x as this is offered on a GI basis Note – Applies only during Open Enrollment
approved - should get 3x
basis
by underwriting - should get 2x as this is offered on a GI basis
by underwriting - should get 3x
because this is over the GI limit If approved - 6x If declined - remains
at 5x
requires underwriting
Employee making $140,000 a year:
Guaranteed Issue (GI) basis Note - applies to this Open Enrollment Only
declined by underwriting - should get 1x as this is offered on a GI basis Note – Applies only during Open Enrollment
3x
basis
Trang 6 Currently has 1x Optional - requests 3x Needs Underwriting Declined
by underwriting - should get 2x as this is offered on a GI basis
should get 3x
for the increased amount because the new total is over $500,000
Current amount = $420,000 Requested amount $560,000 If
approved, gets 4x at $560,000 If declined, should be allowed to move
up to the GI limit of $500,000 but should have an indicator that
amount is capped at the GI limit versus having a "true" multiple of salary
Currently has 4x salary but amount is capped at $500,000 due to current plan maximum Requests 4x (to get a true 4x salary) or 5x Need Underwriting If approved, gets new multiple If declined, remains at capped $500,000 and should have an indicator on file that amounts is capped versus a true multiple of salary
underwriting If approved, gets 4x If declined, should get capped at
$500,000 and have an indicator that amount is capped
Question: Were there any changes to Retiree life insurance?
Answer: No, there have been no changes.
Question: What will happen to the face value of the policies of those former
employees who have been approved for waiver of premium for their life insurance?
Answer: Those employees who have been approved for life waiver of
premium will retain their current face value for their life insurance
Additional Open Enrollment Information
The snapshot for Open Enrollment will be taken September 9, 2010 University files will be loaded before the snapshot is taken
Benefit Statements are scheduled to be mailed September 13th to September 24th
Open enrollment key dates document will be provided in the near future
Open enrollment will begin September 27th and end October 22nd
The mailing priority sequence is as follows: Temporary, mailing, then home address If there is no temporary address, the system checks for
a mailing address If there is no temporary or mailing address, the system uses the home address
Trang 7 The 2010-11 payroll schedules will be distributed by the end of August.
Dependent requirements have changed Your child can remain on your coverage until the end of the calendar year in which they turn age 26
Question: The University of West Florida asked if DMS & Northgate would
provide a walk through for returning faculty There is a concern with terminations which shouldn’t take place
Answer: DMS will coordinate a date and time with Northgate and Verla will
send a meeting invitation to everyone
Question: Florida State University asked if they can send a BNI 123 file on
the third pay day in this month
Answer: Northgate will be able to process another BNI 123 file on the third
pay day in July
Closing
DMS closed the meeting by thanking everyone for participating on the call and asked them to please continue to let us know when they experience problems
TAKEAWAYS
DMS/NGA will provide the updated SUS workbook, including the new plan codes and rate changes
DMS will provide the Open enrollment key dates document
DMS will provide the 2010-11 payroll schedules
DMS will coordinate a date and time with NGA to do a walk through for returning faculty