Health Insurance 2001

1
Welcome!
HR Partners meeting September 23, 2008
Human Resources 215 S. Jackson St. 706-542-2222
2

• Thanks to the departments supervisors who
• Are currently hosting one or more of the 28 high
  school juniors and seniors
• Hosted one of the 21 students ages 14-16 this
  past summer

3

• We need your help!
• More host sites for January
• Mentors for all students
• Partners to take Young Dawgs to Coile Middle
  School

4
Changing the subject

• Employment verification process at UGA will soon
  change

5
Employment verification

• Soon, employees will be able to obtain employment
  and salary verification 24/7!

6

• The Work Number provides employment verification
  services to over 80 million employees
• It is widely known to mortgage lenders, banks,
  apartment complexes, and others who may need
  proof of your employment or income, and it is
  easy for them to use

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• You control the process, because you authorize
  access to your information
• No waiting on weekends or holidays to buy a car,
  rent an apartment, or make other purchases
• No cost to you the lenders pay to use The Work
  Number

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Employers using The Work Number

• Universities
• Emory University
• University of South Carolina
• Vanderbilt University
• University of Pennsylvania
• Georgetown University
• Ohio State
• Northwestern University

• States
• Colorado
• Missouri
• Pennsylvania
• California

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Basic computer training

• Conducted in August thru September this year
• Designed to help UGA employees use the computer
  to access basic services
• Email
• Self-Service site (paychecks, leave)
• Parking
• Etc.

10
Basic computer training

• Who has been trained?
• Food service employees -- 144
• Housing employees -- 54
• Physical Plant supervisors 61
• Total 259
• We will continue to conduct training on a
  scheduled basis.

11
University GED program

• Why do we need it?
• UGAs future depends on employing an educated
  and skilled workforce
• To increase the potential and opportunities for
  employees for advancement within UGA
• To increase educational opportunities for UGA
  employees
• To increase the quality of UGA hires
• To demonstrate UGAs commitment to education
• To send a visible message to students, parents,
  school administrators, school counselors, and
  teachers that it is important to complete high
  school

12
Leadership Development

• Foundations of Leadership Program (recently
  filled!)
• 20 participants accepted into the program
• 32 applicants
• HR is revamping our previous leadership programs
  to be 21st Century-focused (Front Line
  Managerial)
• Future implementation of UGA Leadership Networks
• Leadership development network programming
• Leadership Speaker series
• Annual UGA leadership conference
• Leadership events
• Leadership newsletter
• Leaders Web site

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Flex-time policy

• Policy is being reviewed by University Cabinet
• Flex-time arrangements must benefit the unit and
  UGA
• HR will review proposed flex-time arrangements
  for FLSA compliance

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Background checks
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(No Transcript)
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Background checks
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(No Transcript)
18
Changes in IRS regulations governing 403(b)
plans effective January 1, 2009
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Why did the IRS issue the new 403b regulations?

• IRS audits have identified significant compliance
  gaps when there is insufficient employer
  oversight
• Eligibility and opportunity to enroll
• Distributions prior to termination
• Hardship withdrawals that exceed actual hardship
  amounts
• Loans that exceed 50,000 in the aggregate
• Dishonest self-certification on transfer, loans,
  hardships, distributions
• Insufficient disclosure of fund expenses/fees

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What is the overall impact?

• Most substantial regulatory changes to 403b plans
  in 40 years
• 403b plans will operate more like 401k plans,
  which require good compliance records
• The administrative challenge Make 403b plans in
  a multi-vendor environment operate like 401k
  plans, which are typically exclusive
• Compliance is a top IRS priority
• Plan compliance is the employers responsibility

21
What HR has done to comply?

• Reviewed number of participants across 24 ORP,
  403b, 457b vendors
• Identified top 6 vendors w/ than 200
  participants, i.e., TIAA-CREF, AIG Retirement
  (VALIC), Fidelity Investments, Lincoln Financial
  Group, American Funds
• Froze new contracts w/ all but three 403b vendors
  effective 9/27/07 to comply w/IRS regs
  (TIAA-CREF, AIG Retirement, Fidelity Investments)
• Effective 11/1/2008, reduced number of approved
  403b 457b vendors to four TIAA-CREF, AIG
  Retirement (VALIC), Fidelity Investments,
  Lincoln Financial Group

22
ContWhat HR has done to comply?

• We negotiated new 403b 457b mutual fund
  platforms w/approved vendors
• AIG Retirements 403b 457b platform was
  effective 8/1/2008
• Lincoln Financial Groups 403b 457b platform is
  effective 11/1/2008
• TIAA-CREF Fidelitys 403b 457b platform will
  be effective 1/1/2009 (through 12/31/2008
  existing vendor funds)
• Adding post-tax Roth 403b plans
• We designed easier to use 403b 457b platforms
  that have two to four tiers
• Tier 1 (Target/age-based retirement funds)
• Tier 2 (Best-in-Class funds across asset
  categories)
• Tier 3 (Vendor proprietary funds)
• Tier 4 (Self-directed brokerage service/retail
  portal)
• We are preparing communication to send to all
  403b participants 403b vendors
• Participants with non-approved vendors may leave
  current contributions in existing accounts must
  direct new contributions to four approved vendors
  as of 1/1/2009
• Participants with approved vendors may need to
  convert to new fund platform

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What does it mean to you?

• You will have same fund choices through fewer
  vendors
• The new tiered 403b 457b mutual fund platforms
  are designed to make retirement and investment
  planning easier we will post quarterly fund
  performance for Tiers 1 and 2
• With fewer vendors, you will better understand
  your choices, expenses, etc.
• You will see more educational information on the
  HR Web site re financial planning, investment
  planning, wealth management services, education,
  etc.
• We will provide ongoing education e.g., seminars,
  Webinars, mailings, etc.
• Through FMEC, HR will be proactively reach out to
  faculty and staff for one-on-one appointments w/
  vendor reps and HR reps
• We will be implementing Retirement Manager, a
  single retirement planning tool/system called for
  participants featuring on-line self-enrollment
  for 403b 457b vendors fund transfers/changes
  educational information compliance monitoring
  and processing (hardships, loans, limits,
  catch-ups, etc.)

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FMEC has been created to help you!

• Financial Management Education Center provides
• Vendor choices and fund information
• On-site counseling opportunities with reps from
  AIG, Fidelity Investments, and TIAA-CREF in the
  HR building Lincoln Financial Group has local
  office
• Future just-in-time seminars and programs
• Select FMEC on the HR home page

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Four new voluntary benefits coming end of first
quarter next year

• Short-term disability insurance Boston Mutual
• Critical illness insurance Boston Mutual
• Personal indemnity accident insurance AFLAC
• Cancer insurance AFLAC
• Special Enrollment March or April 2009

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Benefits Open Enrollment 2008

• Monday, October 6 -
• Friday, November 7 at 500pm

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Overview

• Health plans
• Changes to the current health plans
• Additional HMO choice Kaiser Permanente
• Medco and Blue Cross pharmacy programs
• Premium increases
• Dental plan
• New provider MetLife
• LTD insurance
• Special enrollment for 2009 (no statement of
  health)
• Lower premiums for 2009
• Other information

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Choices for enrollment

• Use HRconnection for a paperless, online
  enrollment experience
• OR
• Submit paper enrollment forms to HR

DO NOT use HRconnection and submit paper forms!
Choose and use only one process.
4
This is the last year for paper enrollment forms!
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Changes you can make

• Health insurance
• Enroll
• Change your health insurance plan
• Add dependents
• Drop dependents
• Cancel coverage

If you do not wish to make any changes to your
health insurance, no action is required on your
part
Note
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Health insurance plans

• Indemnity
• PPO
• HMO (2 plans BCBS Kaiser Permanente)
• HSA PPO (high deductible)
• Few changes to coverage
• Premiums increase January 1, 2009

31
Indemnity changes for 2009

• Dramatic rise in premiums
• Employer contribution capped at PPO level
• New pharmacy benefit manager Medco
• (Replaces Express Scripts)
• Pre-certification now with Blue Cross Blue Shield
• Behavioral health now with BCBS
• No coverage changes

32
PPO changes for 2009

• The BCBS of Georgia PPO network replaces 1st
  Medical Network for in Georgia claims
• The PPO national network (previously Beech
  Street) will be the Bluecard National Network
• Pre-certification will be handled by Blue Cross
  Blue Shield of Georgia (previously Unicare)

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Other PPO changes

• Behavioral Health will be handled by Blue Cross
  Blue Shield of Georgia (previously Magellan)
• The pharmacy benefits manager for the PPO plan
  will be Medco (previously Express Scripts)

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Prescription Drug Benefit(Indemnity PPO) Medco

• No changes to co-pays or quarterly out-of-pocket
  maximums

Check the Medco drug list youll find the link
on the UGA open enrollment Web page
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HMO plans

• New choice Kaiser Permanente
• Review the plan booklet for details
• Athens Regional Medical Center has joined the
  Blue Choice HMO network
• No changes to the Blue Choice HMO coverage

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Prescription Drug Benefit(HMOs)

• Kaiser Permanente
• Co-pays for KP pharmacy
• Generic 10
• Brand name 25
• Co-pays for network pharmacy
• Generic 16
• Brand name 31
• Days supply
• 30-day only

• Blue Cross Blue Shield
• Co-pays
• Generic 10
• Brand name 25
• Days supply
• 30-day only

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HSA PPO plan

• The HSA PPO plan was formerly called the high
  deductible plan
• The 750 maximum has been removed from the
  wellness benefit
• Some stipulations still apply contact BCBS for
  details

38
Health savings account (HSA)

• You must be enrolled in the HSA PPO plan to be
  eligible for an HSA
• The BOR has contracted with USbank to provide an
  HSA for all system institutions
• All HSA PPO plan enrollees will receive
  enrollment information from USbank
• If you enroll in the USbank HSA, you may
  contribute through payroll deduction on a pre-tax
  basis
• If you arrange another HSA, no payroll deduction
  is available

39
Health premiums for 2009
40
Prescription Drug BenefitHSA PPO (high
deductible)

• Blue Cross Blue Shield of Georgia is the pharmacy
  benefit manager for the HSA PPO plan.
• All prescription costs apply to your deductible
  until the deductible is satisfied

41
Health change form

• If you wish to make changes, do ONE of the
  following by 500pm Friday, November 7
• Use the HRconnection Web site to enroll
  electronically
• OR
• Submit a health change form available at
  www.hr.uga.edu. Select Open Enrollment
• Use only ONE method above. DO NOT use HR
  connection and submit a paper form!
• This is the last year for paper enrollment forms!

42
Dental plan

• Changes you can make
• Enroll in dental insurance for the first time
• Add eligible dependents
• Drop dependents
• Cancel coverage
• MetLife is the plan administrator for 2009. No
  changes to the dental plan coverage or rates.

The Board of Regents makes an annual decision
whether to allow open enrollment in the dental
plan. Please give special consideration to
enrolling, with the knowledge that you may not be
able to enroll next year during the open
enrollment period.
Note
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Flexible spending accounts

• Health and Dependent Care
• You must enroll each year to participate!
• Enroll using the PayFlex Web site
• Reduce your taxable income while paying eligible
  medical and daycare expenses
• Use or lose it no refunds for unused
  contributions

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Flexible spending accounts

• PayFlex offers
• Debit card for eligible health purchases
  (administrative fee paid by UGA)
• Express claim submission online
• 24/7 online account access https//www.payflex.co
  m/mypayflex/login.htm
• Access to account balances
• Check status of reimbursement requests
• Toll free customer service 8am 8pm M-F
• [phone]
• Longer spending year (through 03/15/2010)
• Must request direct deposit, if desired

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Life insurance

• You may request changes at any time during the
  year
• there is no open enrollment deadline
• You may request approval for optional insurance
  for yourself, your spouse, and your children
• A statement of health is required for increases
  in
• coverage
• Online MetLife services www.metlife.com/mybenefit
  s
• Change beneficiary online
• Check coverage 24/7 online
• Toll-free customer service 8am-11pm
  Monday-Friday
• 1-866-492-6983

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Accidental Death Dismemberment insurance(ADD)
Changes you can make during open enrollment

• Enroll (no statement of health required)
• Change amount of coverage
• Change level of coverage (family or individual)
• Cancel coverage
• Change beneficiary

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Long-Term Disability Insurance(LTD)

• Special enrollment this year lower premiums
  increased coverage in 2009
• You may enroll during open enrollment with no
  statement of health
• Effective January 1, 2009, the LTD insurance
  benefit increases from 60 to 66 2/3 of your
  income if you are unable to work for at least 90
  days as a result of serious illness or injury
• The cost of the plan is determined by your salary
  and age

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Optional Retirement Plan

• You may change your ORP companies during any
  payroll period (usually no more than 12 time
  p/yr) no need to wait for open enrollment
• Change forms are available at all times on the
  Benefits Web site

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Benefits News
You will receive a copy of Benefits News in
campus mail with information about the 2008 open
enrollment. Please read all materials
available to you before making any changes.
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Open enrollment deadline500pm Friday, November
7

• For health, dental, ADD, and LTD
• Enroll online using HRconnection
• OR
• Submit forms to Employee Benefits, 215 S. Jackson
  Street, Athens, GA 30602
• Flexible spending accounts
• Enroll online using the PayFlex Web site

51
Open enrollment deadline500pm Friday, November
7

• How to submit paper enrollment/change forms
• Drop box in front of the Human Resources building
• Campus mail
• U.S. mail

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Questions?
Health, dental, ADD, LTD, ORP
benefits_at_uga.edu or 706-542-2222
Health dependent care flexible spending accounts
https//www.payflex.com/mypayflex/ or
(Toll-free) 800.284.4885
https//mybenefits.metlife.com/ or (toll-free)
866-492-6983
Life