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Summit Consolidated Group 2010 Benefits Renewal December 9, 2009 Benefits Update Commitment to Employee Benefits According to the Society for Human Resource Management (SHRM), 60% of the employers surveyed indicated that they have had to cut employee benefits this year due to the economy. Impact on Summit Consolidated Group We continue to offer a very competitive benefits package as well as continue to enhance our product offering Benefits Renewal Summit Employee Benefits Spectrum MEDICAL WELLNESS DENTAL EAP VISION LIFE/ AD&D 401(k) BENEFITS PREPAID LEGAL STD LIFELOCK LTD FLEX VOL. LIFE VOL. CANCER Benefits Renewal Medical Medical insurance is renewing with BlueCross BlueShield Plan ran well this year We performed a complete evaluation of alternate carriers and plans BCBS continues to provide the most affordable and comprehensive coverage and network to all employees Still offering the $1000 and $2500 plans Changing plan designs is only allowed during this open enrollment period No payroll deduction changes!! Benefits Renewal Medical (continued) Medical plans review: Deductibles (starts over 1/1/10): Coinsurance Out-of-pocket maximum:* Office copay (includes lab work): Inpatient hospitalization: Outpatient surgery: Prescriptions: Generic Preferred Drug: Other drugs: $1000/ $3000 vs. $2500/ $7500 80/70/60/50 & Outside OK: 80/50 $2000-$5000 per person plus ded. $20 vs. $35 (ded. & coins. are waived for all children’s visits & 1st 6 adult visits) Ded. & Coins, plus $500 or $750 Ded. & Coins, plus: $200 on both 30% with $12 minimum $25 30% with $25 minimum * Copays and additional deductibles do not count towards satisfying your OOP Max. Out-ofnetwork services are subject to balance billing and not covered under the OOP Max. Benefits Renewal Medical (continued) BlueCross Representative: LouAnne Hale Other benefits and considerations: Preventative, Physicals, Colonoscopy Chiropractic & Physical Therapy Request in-network providers Follow up on pre-treatment verifications Request in-network providers BCBS Online Tools and Resources Benefits Renewal Dental Changing carriers from MetLife to Delta Dental Delta Dental was able to offer very comparable benefits and keep the costs down Plan: $50 deductible, $2000 annual plan maximum, $1500 ortho. max. Two networks available: PPO & Premier – PPO pays higher coinsurance and can provide deeper discounts Network is at good or better than MetLife Class 1 (Preventative): Class 2 (Basic): Class 3 (Major): Class 4 (Ortho.): PPO 100% 90% 60% 60% Premier 100% 80% 50% 50% Out-of-Network 90% 70% 40% 40% Benefits are limited to Class 1 services if you or a family member enrolls and is not coming off another dental plan at this time. Benefits Renewal Dental (continued) Find a participating dentist (PDP) at www.deltadentalok.org Choose PPO or Premier Network Online Services available through Spotlight™ (/spotlight) Check claims status and access EOB’s Check available benefits Print ID cards Oral health and wellness education Benefits Renewal Dental (continued) Payroll Deduction Changes: Employee Employee/ Spouse Employee/ Children Family Current $4.58 $18.19 $21.46 $38.73 Renewal $3.90 $15.90 $20.90 $37.90 Decrease -$0.68 -$2.29 -$0.56 -$0.83 Benefits Renewal Vision and Ancillary The Vision insurance with VSP renews in April Exam: $10/ Glasses (or Contacts): $25 & discounts on additional services Frequency: Exam and Lenses every 12 months/Frames every 24 months You can make enrollment changes during March Group Life/AD&D, STD & LTD provided by Summit No change in benefits Life: $50,000 (w/ age reduction starting at age 70) AD&D: pays an additional benefit if you die as the result of an accident or become dismembered STD: 60% of weekly salary to $1000 weekly maximum LTD: 60% of monthly salary to a $6,000* monthly maximum benefit * Some associates may be eligible for an enhanced LTD benefit Benefits Renewal Flex Plan Set aside on a pre-tax basis up to $5000 in anticipated and qualified health expenses and $5000 in dependent care costs through your flex plan on an annual basis. You and your dependents do not need to be enrolled in Summit’s benefits to be reimbursed for qualified expenses under our FSA. However, you cannot claim the same expenses that are reimbursed through another plan, such as a spouse’s flex or HSA account. Dependent care expenses will be reimbursed once you have accumulated the money in your account to cover that expense/ claim for reimbursement. You have until March 31st of the following calendar year to turn in your receipts for qualified expenses incurred between January 1st through December 31st. Money accumulated in your account but not reimbursed in time will be forfeited. Benefits Renewal Flex Plan (continued) Advantages: The “Unreimbursed Medical” acts like an interest free loan. You can incur and be reimbursed for the expenses in January, for example, but only make small payments throughout the year through payroll deductions to cover that expense. Your payroll deducted flex elections and insurance premiums are deducted pre-tax to save you money. Be advised that you cannot make plan changes throughout the year unless you have a qualifying event. Expenses you pay out in prescriptions, copays, deductibles, coinsurance etc. on your medical, dental, and vision plans are qualified expenses to be reimbursed through your flex. Benefits Renewal Worksite Products TRANSAMERICA LIFE INSURANCE COMPANY TransLegacy Universal Life Insurance Conditional Guarantee Issue up to $75,000 Portable when you leave employment Includes Accidental Death and Dismemberment, Waiver of premium layoff rider & Terminal Illness Rider Coverage available for employee, spouse (CGI $25,000), children & grandchildren Benefits Renewal Worksite Products (continued) PRUDENTIAL Voluntary Group Term Life/AD&D Guarantee Issue up to $100,000 Maximum Coverage Available – Lesser of 5X Earnings or $500,000 Annual Increase without Medical Evidence – Lesser of 4 increments ($40,000)/salary multiples Age Reduction Schedule – 35% @ age 65; 50% @ age 70 Spouse Guarantee Issue up to $20,000 Child(ren) – Up to $10,000 until 19 years of age, 25 if full-time student Policy terminates at retirement Portability is available Benefits Renewal Worksite Products (continued) ALLSTATE FINANCIAL Cancer and Specified Disease Coverage Pays directly to you unless you assign the benefit Portable (Can be continued if no longer employed) 20 specified diseases covered in addition to cancer Hospital Confinement – Pays up to $400 for each of the first 70 days of each period of confinement Radiation, Radio-active isotopes, chemotherapy and immunotherapy – pays up to $20,000 each 12 months Blood, plasma and platelets – Pays up to $20,000 each 12 months Pays up to $100 per calendar year for each insured to have cancer screening tests such as a mammography, pap smear, PSA and CA125 Pays up to $5,000 upon Initial Diagnosis Benefits Renewal Worksite Products (continued) ALLSTATE FINANCIAL (continued) Cancer and Specified Disease Coverage Semi-monthly cost: Individual Family Base Plan $ 10.48 $ 17.31 Enhanced Plan $ 13.74 $ 23.15 Premier Plan $ 17.88 $ 30.72 SUMMIT FINANCIAL GROUP PRD AUTHORIZATION Name: _________________________________ Sex: __M__F Social Security Number: ________________________ Mailing Address: _____________________________________ City: ______________________ St: ______ Zip: ______ Home Phone: ( ) Cell Phone: (______)_______________ Height: _______ Weight: _______ Date of Birth: _________ Date of Hire: _________ Job Title: ________________ *Mother’s Maiden Name: __________________ Primary Beneficiary: ___________________ Relationship: ____________________ Email: ____________________________n Complete For All Dependents (If coverage is requested) Height Weight SS# Date of Birth Age Sex SPOUSE CHILDREN SEMI-MONTHLY DEDUCTIONS MONTHLY PREMIUM AMOUNTS (FOR HOME OFFICE) Bill Date Deduction Date 1. Permanent Life - Transamerica $ Monthly Perm Life Prem $ 2. Term Life – Prudential $ Monthly Term Life Prem $ 3. Cancer – AHL $ Monthly Cancer Prem $ 4. Administration Fee $ .75 Monthly Admin Fee Prem $ 1.50 Total Deductions $ _________________ Date Total Monthly Premium $ _________________________________________________ Employee Signature of Authorization WAIVER OF COVERAGE I have been offered the opportunity to participate in my employer’s Employee Benefit Program and I decline. I understand that if I want to participate later, I may have to furnish evidence of insurability. ________________ Date _________________________________________________ Employee Signature of Declination * Permanent Life – If purchased, electronic signature includes last 4 digits of your social security number plus two digit month of birth plus your mother’s maiden name. (example: 557902peddy) *Permanent Life – If coverage is purchased on spouse Transamerica needs: Date of Marriage______________________________ State of Marriage______________________________ Benefits Renewal LifeLock Identity Protection Provides the following services: They obtain a current credit report and monitor it every 90 days They send you one annually from all credit bureaus They request that you be removed from junk mailings They provide WalletLock service to help you cancel and reopen new accounts if your wallet is lost or stolen eRecon and TrueAddress will search internet websites for unauthorized use of your personal information and notify you if your address is changed online They call you to approve big purchases They will spend up to $1 million doing whatever is necessary to repair your credit if you become a victim of identity theft Teenagers are now being targeted because their credit won’t be searched until they are at least 18 Employees covered for $66 per year/ children under 16 are $25/ year Just use the promotional code SFG40 at www.lifelock.com to obtain your discount Benefits Renewal Prepaid Legal Provides the following services: Legal consultation and advice Write letters and make calls on your behalf Reviews contracts and documents for you Will preparation service with annual review, plus Living Will and Power of Attorney preparation Major an Minor Motor Vehicle legal services Trial defense services, start at 60 hours and increase with each renewal IRS Audit Legal Services Legal Shield card provided to use in immediate situations Cost is $15.95 per month for the entire family for the standard plan Benefits Renewal Employee Assistance Programs An Employee Assistance Program provides counseling for common issues such as: Depression and Stress Management Marital Conflicts Parenting, Child Care and Elder Care Concerns Emotional Problems and Crisis Financial and Legal Concerns Alcohol and Drug-Related Addictions All employees have access to the EAP through Lincoln Financial. Tulsa area employees also have access to our initial EAP service through Community Care. Advantages: Improved health through counseling Contact to the EAP is anonymous Counselors are available 24/7 via phone and internet, and you can schedule appointments for one on one counseling sessions. Situations that require further treatment will be referred to an outside counselor. Benefits Renewal Wellness In addition to addressing stress-related and emotional concerns through the EAP, you can further manage your health and help prevent medical conditions through the numerous wellness tools provided to you by: BlueCross BlueShield website: www.bcbsok.com Register for BlueAccess Delta Dental website: www.deltadentalok.org Register for Spotlight ActivHealth website: www.activhealth.com Summit Financial Group 401(k) Plan Summary PARTICIPANT ELGIBILITY: Minimum Age: 21, Waiting Period: 6 consecutive month period. Those eligible but not in the plan will be automatically enrolled at 3% of pay unless you opt out or select a different percentage. Contributions will be increased 1% per year to a cap of 6%. PLAN ENTRY DATES: January 1, April 1, July 1, Oct. 1 (after meeting eligibility requirements) DISCRETIONARY MATCH: Summit has a discretionary match, historically 25% on the dollar up to 4%. A discretionary profit sharing contribution may be made. VESTING:* All Company contributions subject to the following schedule: Years of Service Ownership Percentage 0-1 0% 2 20% 3 40% 4 60% 5 80% 6 100% *All accounts are fully vested at Normal Retirement Age 65. DISTRIBUTIONS: Funds are available upon retirement, death, disability, or termination of employment. In-service withdrawals are allowed at age 59 ½ Loans are allowed under the plan. Benefits Renewal 401(k) Contact Information http://retirement.standard.com Or call INFOLINE at 800.858.5420 For a salary deferral form contact Kristina Humphrey at x411. All forms are due to Thelma no later than January 4th. Benefits Renewal Information Needed Required Forms: Dental applications Flex election forms Comprehensive Benefits Election Form Optional Forms: Medical application - for changes only Life insurance beneficiary form- for updates only 401(k) election form- for changes Voluntary/ Worksite coverage forms Dental forms are due by Monday, December 14th All other forms are due by Friday, December 18th Benefits Renewal Questions & Answers Questions will be addressed at this time. Those that are only relative to an individual should be addressed to [email protected] after the call. Thank you Human Resource Notices 9/80 Program Reminders: You should be working during your scheduled working hours. Coming in early and working late is not intended for visiting and taking breaks. The program is a privilege and continues to be evaluated. If it is abused, the abuser can be removed from the program, or the program eliminated all together. Although it’s not our intent to have associates work on their day off, you need to make sure your work is taken care of before taking off or leaving early that Friday. 2010 Holiday Calendar New Years Day President’s Day Good Friday Memorial Day Independence Day Labor Day Thanksgiving Christmas Eve New Years Eve Friday, January 1st Monday, February 15th Friday, April 2nd Monday, May 31st Monday, July 5th Monday, September 6th Thurs. & Fri., November 25th & 26th Friday, December 24th Friday, December 31st